10. ABC purchased $8,000 worth of equipment from EMT Inc.. They paid$5000 with check #105 and put the rest on account. (Hint: more than 2accounts will be affected).Which accounts are affected?Is it an increase or decrease to the account?Where will the debit and credit be reported?

As per accounting equation of the business, total assets in the business should be equal to total…

Answered: 10. ABC purchased $8,000 worth of…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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5. Explain how the accounting equation and the double-entry system of accounting would be used to record the following transactions: A company purchases inventory on account for $10,000. A company sells goods on account for $20,000. A company collects cash on account from a customer for $5,000. A company pays cash for salaries of $1,000. Required: a. For each transaction, identify the accounts that would be affected and whether they would be increased or decreased. b. Write the double-entry journal entry for each transaction.
(1X 10) (10) 1.2 Analyse the following transactions of Lowveld Traders. Assume the bank balance is favourable. Example: The owner increases his capital contribution by R5 000 by depositing money into the bank account. Account debited Bank No. Source document Account credited A OE L. e.g. Duplicate receipt Capital +5000 +5 000 Transactions: 1.2.1 Receive R10 560 from Money Bank, it was for a fixed deposit of R10 000 and interest. (7) 1.2.2 Credit card sales for the week amounts to R25 000. Mark-up on cost is 25%. (10) 1.2.3 Goods returned by a debtor, R1 000, cost price R700, (9) 1.2.4 Receive R580 from a debtor in settlement of his account of R600, (8) 1.3 The debtor's clerk of Lowveld Traders has limited knowledge and training in Accounting. As a result, he is making errors on the documents being issued and the recording in the books of the business. Give THREE suggestions to try to solve the problem. Give THREE suitable reasons for your recommendations. 50 Copyright reserved Please…
Do b)
Transaction: Laker Co. pays $3,900 on account for tools bought earlier. Required: For the transaction above, complete the following: (a) Select the accounts that are affected (there will be at least two). (b) Are the selected accounts increased or decreased? (c) What is the dollar amount of change in the accounts? (d) If Retained Earnings is selected, choose the reason that it has changed. Cash Account Accounts Receivable Supplies Tools Accounts Payable Capital Stock Which accounts are affected? Is the account increased or decreased? Increase Decrease OO Increase Decrease Increase Decrease Increase Decrease Increase Decrease Increase Decrease What is the amount of transaction? $0 $0 $0 $ 6A $0 Why has Retained Earnings changed?
this is for financial mathematics, thank youuuuu
Splish Brothers Inc. had the following transactions. 1. Borrowed $6,385 from the bank by signing a note. Paid $3,192 cash for a computer. Purchased $575 of supplies on account. 2. 3. (a) Indicate what accounts are increased and decreased by each transaction. 1. 2. Your answer is partially correct. 3. Debit Analysis Increase the Asset Increase the Asset Increase the Asset Cash Computer Supplies Account Names Credit Analysis Increase the Liability Decrease the Asset Increase the Liability Notes Payable Cash Accounts Payable Account Names
can somebody explain what goes on the account line, and whether or not i should debit or credit the items. Thank you
I have to do my accounting problems on excel and I have to record the transactions, but have a total for each column. If someone bought a computer from wardens office outfitters, $1,636, paying $750 in cash and placing the balance on account what does that mean exactly? I have other questions to but I'm not sure how this works.
Sydney Ltd repaired a customers' washing machine and charged the customer $500 which the customer paid immediately. The general journal entry to record the transaction is: a.Debit Cash at bank $500; Credit Income from repairs $500 b.Debit Accounts receivables $500; Credit Income from repairs $500 c.Debit Income from repairs $500; Credit Accounts receivables $500 d.None of the above
Answer the following questions.
I Only wants the correct option like A, B, C, D, or E 1. Geek Squad performs services for a customer and bills the customer for $500. How wouldGeek Squad record this transaction?a. Accounts receivable increase by $500; revenues increase by $500.b. Cash increases by $500; revenues increase by $500.c. Accounts receivable increase by $500; revenues decrease by $500.d. Accounts receivable increase by $500; accounts payable increase by $500.e. Accounts payable increase by $500; revenues increase by $500. 2. Indicate which of the following statements is true.a. Since intangible assets lack physical substance, they need be disclosed only in the notes to thefinancial statements.b. Goodwill should be reported as a contra-account in the owner’s equity section.c. Totals of major classes of assets can be shown in the balance sheet, with asset details disclosedin the notes to the financial statements.d. Intangible assets are typically combined with plant assets and natural resources and shown…
4. Completed cleaning services on account for Mike Smith and billed him $200. Which accounts are affected? Is it an increase or decrease to the account? Where will the debit and credit be reported? Okay You

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10. ABC purchased $8,000 worth of equipment from EMT Inc.. They paid $5000 with check #105 and put the rest on account. (Hint: more than 2 accounts will be affected). Which accounts are affected? Is it an increase or decrease to the account? Where will the debit and credit be reported?