Question: Identified below are a set of transactions for the SerenitySleep Hotel which commenced business in Wellington, New Zealand on 1 June. June 1 Owner commenced business by depositing $20,000 in a new business bank account.
- 2 Purchased some basic office furniture for $3,000 cash.
- 3 Purchased inventory stock for $900 cash.
- 4 Purchased more inventory stock on credit for $1,400.
- 5 Purchased an office computer for $6,000, paying $1,500 in cash and obtaining a loan for the balance.
- 6 Billed clients $1,000 for use of conference facilities.
- 7 The owner withdrew $800 from the business.
- 8 Banked the first week's cash revenue $1,300. 9 It was determined that $400 of inventory has been used since the commencement of business. 10 Paid $240 for miscellaneous expenses (telephone, electricity, etc.)