1/ 1 You setup a corporation and you invested all your savings amounting to $30,000 in the company to get it started.

1/ 2 Now that you have thought it over, you figure your original investment might not be enough. So the company obtains additional financing by borrowing another $20,000 from a local bank for two years at 12% interest.

1/ 3 Entered into a two-year lease for a shop to conduct operations. The rent is $2,000 per month and the company is required to pay the first (January) and last months rent upon signing the lease. In addition a security deposit of $500 is required.

1/ 4 As it would be nice to have something to put in our store, the company decides to buy furniture and fixtures for $15,000.

1/ 5 A security alarm is installed in the store. The cost of the alarm is $1,200; the guy who installed the alarm gives you a bill. You decide to pay the bill next month.

1/ 6 As things seem to be moving along, you figure out the business needs something to sell. So, the company purchases $20,000 worth of merchandise. The supplier lowering the purc

1/ 31 Your contract with KROQ signed on the 12 went into effect early and 10% of the advertisements have been run even though no payment has been made.

1/ 20 The company decided to invest $5,000 of excess cash into marketable securities to earn more interest. The new investment earns 10% per year.

1/ 9 The company purchases a six-month operating permit from the city for $1,200 ($200 per month) cash. The permit allows the business to operate for six months starting from Jan 1st.

1/ 24 Additional sales of $35,000 are made. $7,000 was on account.

1/ 19 Sales staff salaries of $4,500 were paid. This covers all salaries currently due.

1/ 31 After counting the inventory, you determine there is $9,000 left in the shop.

1/ 31 All investments have been earning the stated rate of interest since the beginning of the month (ignore previous interest entries in your calculations - however, you should include all entries, both regular and adjusting, when producing financial statements). This means you will recognize an entire month's worth of interest no matter when the investment was made.

Some common words found in the essay are:
JOURNAL ENTRIES, ADDITIONAL INFORMATION, Office Salaries, Required Create, 1/ 31, 1st 1/, balance sheet, financial statements, cash 1/, company decides, account 1/, paid 1/, month 1/, company purchases, BUSINESS JOURNAL, display rack purchased, sell company purchases, ignore previous entries, company received notice, business journal entries,
Approximate Word count = 1232
Approximate Pages = 5 (250 words per page double spaced)