Assets = Liabilities + Stockholders' Equity Accounts Accounts Common Fees Salaries Rent Auto Supplies Misc. Cash + Receivable + Supplies = Payable + Stock Dividends + Earned - Expense - Expense Expense Expense - Expense a. +50,000 +50,000 b. +7,000 +7,000 Bal. 50,000 7,000 7,000 50,000 C. -3,600 -3,600 Bal. 46,400 7,000 3,400 50,000 d. +110,000 +110,000 Bal. 3,400 156,400 -33,000 7,000 50,000 110,000 - 33,000 е. Bal. 123,400 7,000 3,400 50,000 110,000 - 33,000 f. -20,800 -16,000 -4,800 Bal. 102,600 7,000 3,400 50,000 110,000 - 33,000 -16,000 -4,800 g. -55,000 -55,000 Bal. 47,600 7,000 3,400 50,000 110,000 -55,000 - 33,000 -16,000 -4,800 h. -4,500 -4,500 110,000 –55,000 - 33,000 -16,000 -4,500 -4,800 Bal. 47,600 2,500 3,400 50,000 +34,500 + 34,500 i. Bal. 47,600 34,500 2,500 3,400 50,000 144,500 -55,000 - 33,000 -16,000 -4,500 -4,800 j. -15,000 -15,000 Bal. 32,600 34,500 2,500 3,400 50,000 –15,000 144,500 -55,000 -33,000 -16.000 -4,500 -4,800 Instructions 1. Prepare an income statement for the month ended July 31, 20Y2. 2. Prepare a statement of stockholders' equity for the month ended July 31, 20Y2. 3. Prepare a balance sheet as of July 31, 20Y2. 4. (Optional) Prepare a statement of cash flows for the month ending July 31, 20Y2.
Assets = Liabilities + Stockholders' Equity Accounts Accounts Common Fees Salaries Rent Auto Supplies Misc. Cash + Receivable + Supplies = Payable + Stock Dividends + Earned - Expense - Expense Expense Expense - Expense a. +50,000 +50,000 b. +7,000 +7,000 Bal. 50,000 7,000 7,000 50,000 C. -3,600 -3,600 Bal. 46,400 7,000 3,400 50,000 d. +110,000 +110,000 Bal. 3,400 156,400 -33,000 7,000 50,000 110,000 - 33,000 е. Bal. 123,400 7,000 3,400 50,000 110,000 - 33,000 f. -20,800 -16,000 -4,800 Bal. 102,600 7,000 3,400 50,000 110,000 - 33,000 -16,000 -4,800 g. -55,000 -55,000 Bal. 47,600 7,000 3,400 50,000 110,000 -55,000 - 33,000 -16,000 -4,800 h. -4,500 -4,500 110,000 –55,000 - 33,000 -16,000 -4,500 -4,800 Bal. 47,600 2,500 3,400 50,000 +34,500 + 34,500 i. Bal. 47,600 34,500 2,500 3,400 50,000 144,500 -55,000 - 33,000 -16,000 -4,500 -4,800 j. -15,000 -15,000 Bal. 32,600 34,500 2,500 3,400 50,000 –15,000 144,500 -55,000 -33,000 -16.000 -4,500 -4,800 Instructions 1. Prepare an income statement for the month ended July 31, 20Y2. 2. Prepare a statement of stockholders' equity for the month ended July 31, 20Y2. 3. Prepare a balance sheet as of July 31, 20Y2. 4. (Optional) Prepare a statement of cash flows for the month ending July 31, 20Y2.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Seth Feye established Reliance Financial Services on July 1, 20Y2. Reliance Financial Services offers
financial planning advice to its clients. The effect of each transaction and the balances after each
transaction for July follow:
Transcribed Image Text:Assets
= Liabilities +
Stockholders' Equity
Accounts
Accounts
Common
Fees
Salaries
Rent
Auto
Supplies
Misc.
Cash
+ Receivable + Supplies = Payable + Stock
Dividends +
Earned - Expense - Expense
Expense
Expense - Expense
a.
+50,000
+50,000
b.
+7,000
+7,000
Bal.
50,000
7,000
7,000
50,000
C.
-3,600
-3,600
Bal.
46,400
7,000
3,400
50,000
d.
+110,000
+110,000
Bal.
3,400
156,400
-33,000
7,000
50,000
110,000
- 33,000
е.
Bal.
123,400
7,000
3,400
50,000
110,000
- 33,000
f.
-20,800
-16,000
-4,800
Bal.
102,600
7,000
3,400
50,000
110,000
- 33,000 -16,000
-4,800
g.
-55,000
-55,000
Bal.
47,600
7,000
3,400
50,000
110,000
-55,000
- 33,000 -16,000
-4,800
h.
-4,500
-4,500
110,000
–55,000
- 33,000 -16,000
-4,500
-4,800
Bal.
47,600
2,500
3,400
50,000
+34,500
+ 34,500
i.
Bal.
47,600
34,500
2,500
3,400
50,000
144,500
-55,000
- 33,000 -16,000
-4,500
-4,800
j.
-15,000
-15,000
Bal.
32,600
34,500
2,500
3,400
50,000
–15,000
144,500
-55,000
-33,000 -16.000
-4,500
-4,800
Instructions
1. Prepare an income statement for the month ended July 31, 20Y2.
2. Prepare a statement of stockholders' equity for the month ended July 31, 20Y2.
3. Prepare a balance sheet as of July 31, 20Y2.
4. (Optional) Prepare a statement of cash flows for the month ending July 31, 20Y2.
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