Lesters home healthcare services lhhs wasorganized on


Lester's Home Healthcare Services (LHHS) wasorganized on January 1, 2005, by four friends. Each organizerinvested $10,000 in the company and, in turn, was issued 8,000shares of stock. To date, they are the only stockholders. Duringthe first month (January 2005), the company had the following six events:

a. Collected a total of $40,000 from the organizers and, inturn, issued the shares of stock.

b. Purchased a building for $65,000,equipment for $16,000, and three acres of land for $12,000; paid$13,000 in cash and signed a note for the balance, which is due tobe paid in 15 years.

c. One stockholder reported to thecompany that 500 shares of his Lester's stock had been soldand transferred to another stockholder for $5,000 cash.

d. Purchased supplies for $3,000cash.

e. Sold one acre of land for $4,000cash to another company.
f. Lent one of the shareholders $5,000 for moving costs, receiving a signed six-month note from theshareholder.
how would set up the Assets,Liabilities and stockholders equity.

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Accounting Basics: Lesters home healthcare services lhhs wasorganized on
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