In the First Month of Operations (April Year 1) of the QuickClean

question 101

Essay

In the first month of operations (April Year 1) of the QuickClean Company, a service business, the following events occurred.
events occurred.

a. Issued stock for $100,000; 20,000 shares with a $1 par value.
b. Purchased equipment with a useful life of ten years for $12,000.
c. Purchased a building with a useful life of 20 years for $24,000.
d. Bought office supplies for $2,400. Supplies are expected to last one year.
e. Paid salaries of $10,000.
f. Borrowed $15,000 from bank on last day of the month. 12% interest rate payable in 90 days.
g. Sold services for $20,000 on account.
h. Collected $15,000 of receivables.
i. Recorded expense accruals of $4,000 at end of month.

Required:
Prepare a balance sheet and statement of cash flow using the indirect method for the first month of operations.

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Definitions:

Normal Body

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Disabilities

Conditions that make it more difficult for a person to do certain activities or interact with the world around them.

Sociological Perspective

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