Required information [The following information applies to the questions display

Question

Required information [The following information applies to the questions displayed below.] The following transactions occurred during May, the first month of operations for Hunter Products, Inc Issued 58,000 shares of capital stock to the owners of the corporation in exchange for $696,000 cash. Purchased a piece of land for $480,000, making a $190,000 cash down payment and signing a note payalt balance. Made a $68,000 cash payment on the note payable from the purchase of land. Purchased equipment on credit from BBW, Inc. for $71,000. What are total assets of Hunter Products at the end of May? Multiple Choice $1.057000 $918,000 $989,000 $1.060.000

Explanation / Answer

Answer is $ 989000 Explanation: Total assets at the end of May: Cash balance at May end: Cash received from Issue of Common Stock 696000 Less: Payment made on purchase of land 190000 Less: Payment made for Notes payable 68000 Ending cash balance 438000 Land 480000 Equipment 71000 Total Assets at the end of May 989000

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