1. Owners invest $20,000 of equity capital 2. Equipment costing $7,000 is purchased for $5,000...
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Accounting
1. Owners invest $20,000 of equity capital 2. Equipment costing $7,000 is purchased for $5,000 cash and an account payable of $2,000. 3. Supplies inventory costing $1,000 is bought for cash. 4. Salaries payable of $4,500 are paid in cash. 5. Revenues of $10,000 are earned, of which $5,000 has been recovered in cash. The remaining $5,000 is owed to the company by its customers. 6. Accounts payable of $1,500 are paid in cash. 7. Customers pay $1,000 of the $5,000 they owe the company. 8. Rent Expense of $750 is paid in cash. 9. Tax payable of $500 are paid in cash. 10. A $200 travel expense has been incurred but not yet paid. 06:49 1
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