1. Acquired an additional $10,000 cash from the issue of common stock. 2. Paid $5,800 cash to settle the salaries payable obligation. 3. Paid $6,000 cash in advance for a lease on office facilities. 4. Sold land that had cost $25,000 for $25,000 cash. 5. Received $8,400 cash in advance for services to be performed in the future. 6. Purchased $1,800 of supplies on account during the year. 7. Provided services on account of $90,000. 8. Collected $92,000 cash from accounts receivable. 9. Paid a cash dividend of $10,000 to the stockholders.
Information for 2013 Adjusting Entries
The advance payment for rental of the office facilities (see Event 3) was made on September 1 for a one-year lease term. 11.
The cash advance for services to be provided in the future was collected on June 1 (see Event 5). The one-year contract started June 1. 12. Had $350 of supplies on hand at the end of the period. 13. Recognized accrued salaries of $6,500 at the end of the accounting period.