The following transactions pertain to ALFA Solutions, Inc. Assume the transactions for the purchase of the computer and any capital improvements occur on January 1 each year.20101. Acquired $50,000 cash from the issue of common stock. 2. Purchased a computer system for $30,000. It has an estimated useful life of five years and a $5,000 salvage value.3. Paid $2,000 sales tax on the computer system.4. Collected $40,000 in data entry fees from clients.5. Paid $1,800 in fees to service the computers.6. Recorded double-declining-balance depreciation on the computer system for 2010.20111. Paid 1,000 for repairs to the computer system.2. Bought a case of toner cartridges for the printers that are part of the computer system, $1,500.3. Collected $38,000 in data entry fees from clients.4. Paid $1,100 in fees to service the computers.5. Recorded double-declining-balance depreciation for 2011.20121. Paid $4,800 to upgrade the computer system, which extended the total life of the system to six years.2. Paid $1,100 in fees to service the computers.3. Collected $35,000 in data entry fees from clients.4. Recorded double-declining-balance depreciation for 2012.Requireda. Record the above transactions in a horizontal statements model like the following one.
The following transactions pertain to ALFA Solutions Inc Assum



Source link

Leave a Reply

Your email address will not be published. Required fields are marked *