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Horace Greeley Corporation was organized in 2013 and began operations at the beginning of 2014. The company is involved in interior design consulting services. The following costs were incurred prior to the start of operations.
Attorney's fees in connection with organization of the company $15,000
Purchase of drafting and design equipment 10,000
Costs of meetings of incorporators to discuss organizational activities 7,000
State filing fees to incorporate 1,000
$33,000
Compute the total amount of organization costs incurred by Greeley.
Prepare the journal entry to record organization costs for 2014. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)
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