Brown Consulting services organized as a corporation on January 18 and engaged in the following transactions during its first two weeks of operation:
Jan 18: Issued capital stock in exchange for $30,000 cash.
Jan 22: Borrowed $20,000 from its bank by issuing a note payable
Jan23: Paid $100 for a radio advertisement aired on January 5
Jan 25: Provided $1,000 of service to clients for cash.
Jan 26: Provided $2,000 of services to clients on account
Jan 31: Collected $800 cash from clients for the services provided on January 26
A) Record each of these transactions.
B) Determine the balance in the Cash account on January 31. Be certain to state whether the balance is debit or credit.