Yowell company began operations on january 1, year 1. during year 1, the company engaged in the following cash transactions: 1) issued stock for $54,000 2) borrowed $32,000 from its bank 3) provided consulting services for $52,000 4) paid back $22,000 of the bank loan 5) paid rent expense for $12,500 6) purchased equipment costing $19,000 7) paid $3700 dividends to stockholders 8) paid employees' salaries, $28,000 what is yowell's ending notes payable balance? $22,000 $0 $10,000 $32,000

Option (C) is correct.

Explanation:

Given that,

Issued stock = $54,000

Borrowed from bank = $32,000

Provided consulting services = $52,000

Paid back bank loan = $22,000

Paid rent expense = $12,500

Purchased equipment = $19,000

Paid dividend = $3700

Salaries paid = $28,000

Ending notes payable balance = Borrowings from bank - Repayments

                                                   = $32,000 - $22,000

                                                   = $10,000

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