The general ledger of Red Storm Cleaners at January 1, 2018, includes the following account balances:
Accounts Debits Credits
Cash $ 17,000
Accounts Receivable 7,400
Supplies 3,400
Equipment 12,000
Accumulated Depreciation $ 3,800
Salaries Payable 5,800
Common Stock 22,000
Retained Earnings 8,200
Totals $ 39,800 $ 39,800
The following is a summary of the transactions for the year:
March 12 Provide services to customers, $54,000, of which $20,400 is on account.
May 2 Collect on accounts receivable, $17,400.
June 30 Issue shares of common stock in exchange for $6,000 cash.
August 1 Pay salaries, $25,400 (of which $5,800 is for salaries payable in 2017).
September 25 Pay repairs and maintenance expenses, $12,400.
October 19 Purchase equipment for $7,400 cash.
December 30 Pay $1,100 cash dividends to stockholders.
Accrued salaries at year-end amounted to $1,100. Depreciation for the year on the equipment is $4,400. Office supplies remaining on hand at the end of the year equal $1,200.