Prepare a statement of financial position. Jhoza Jacob owns and operates the "Dyosa Designs", an interior designstudio. The following transactions occurred during September 2021:September 2 J. Jacob inherited $80,000 and deposited the cash in thebusiness bank account.3Performed services for a client and received cash for $28,000.8 Paid off the beginning balance of accounts payable.Purchased supplies on account, $10,000.Collected cash from customer on account $4,000.Paid salaries of employees, 16,800.Consulted on the interior design of office building andbilled the clients for services rendered #96,000.Recorded the following business expenses for the month:office rent, 18,000 and Advertising expense, $4,000.Sold supplies to another business for $3,000 cash which wasthe cost of the supplies.Withdrew cash of $10,000 for personal use.w10151823262930Information:1. Analyze the effects of the preceding transactions on the accountingequation of Dyosa Designa. Consider the balances pf her business onSeptember 1, 2021. Determine new balances after each transaction:DateSep. 1CashAssets = liabilities + Owner's EquityAccountSupplies Landpayable48,000 32,000Accountreceivable9,000 6,000J.Jacob,Capital31,000

The accounting equation states that assets equals to sum of liabilities and shareholders equity. The…

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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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Prepare a statement of financial position.

Jhoza Jacob owns and operates the "Dyosa Designs", an interior design
studio. The following transactions occurred during September 2021:
September 2 J. Jacob inherited $80,000 and deposited the cash in the
business bank account.
3
Performed services for a client and received cash for $28,000.
8 Paid off the beginning balance of accounts payable.
Purchased supplies on account, $10,000.
Collected cash from customer on account $4,000.
Paid salaries of employees, 16,800.
Consulted on the interior design of office building and
billed the clients for services rendered #96,000.
Recorded the following business expenses for the month:
office rent, 18,000 and Advertising expense, $4,000.
Sold supplies to another business for $3,000 cash which was
the cost of the supplies.
Withdrew cash of $10,000 for personal use.
w
10
15
18
23
26
29
30
Information:
1. Analyze the effects of the preceding transactions on the accounting
equation of Dyosa Designa. Consider the balances pf her business on
September 1, 2021. Determine new balances after each transaction:
Date
Sep. 1
Cash
Assets = liabilities + Owner's Equity
Account
Supplies Land
payable
48,000 32,000
Account
receivable
9,000 6,000
J.
Jacob,
Capital
31,000

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

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