How much cash does the business have to work with


Response to the following problem:

Varitek invested $27,000 cash to start her medical practice. The business completed the following transactions: Varitek invested $27,000 cash to start. The business issued common stock to Varitek.

Purchased medical supplies on account totaling $8,800

Paid monthly office rent of $3,500

Recorded $8,800 revenue for service rendered to patients, received cash of $2,200, and sent bills to patients for the remainder.

After these transactions, how much cash does the business have to work with? Use a T-account to show your answer.

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