Question

E2-11 Assume Down.com was organized on May 1,2010 to competewith Despair.com-a company that sells de-motivational posters andoffice products. The following events occurred during the firstmonth of Down.coms operations. a. Received $60,000 cash from theinvestors who organized Down.com Corporation. b. Borrowed $20,000cash and signed a note due in two years. c. Ordered computerequipment costing $16,000. d. Purchased $9,000 in equipment, paying$2,000 in cash and signing a six-month note for the balance. e.Received and paid for the computer equipment ordered in (c). Paidfor half of it, and put the rest on account. Prepare a balancesheet.