Posted by Bobbi Loffredo on .
Freitas Corporation was organized early in 2009. The following expenditures were made during the first few months of the year:
Attorneys' fees in connection with the organization of the corporation $12,000
State filing fees and other incorporation costs 3,000
Purchase of the patent 20,000
Legal and other fees for transfer of the patent 2,000
Purchase of furniture 30,000
Pre-opening salaries 40,000
Prepare a summary journal entry to record the $107,000 in cash expenditures.