Please help ew History Bookmarks Profiles Tab Window HelpProctoring Enable X +octorio.com/secured#lockdownEnabled: Chapter 2 Required Homewor..D3. Purchased inventory on account at a cost of $62,000. The company uses the perpetual inventory system.4. Credit sales for the month totaled $70,000. The cost of the goods sold was $42,000.5. Paid $3,000 in rent on the warehouse building for the month of March.6. Paid $5,200 to an big insurance company for fire & liability insurance for a 1-year period beginning April 1, 2024.7. Paid $42,000 on account for the inventory purchased in transaction 3.8. Collected $31,500 from several customers on account.9. Recorded depreciation expense of $500 for the month on the equipment.1.Federal Hill Corporation had the following transactions occurred during March 2024. Federal Hill Corporation operates a wholesalewarehouse in Baltimore.1. Issued 20,000 shares of no-par common stock in exchange for $200,000 in cash.2. Purchased new equipment at a cost of $20,000. Cash of $5,000 was paid and a note payable to the seller was signed for thebalance owed.N345672.Required:Please carefully analyze each of Federal Hill Corporation's transaction and show the effect of each transaction on the expandedaccounting equation.Note: Amounts to be deducted should be indicated by a minus sign. Enter the net change on the accounting equation.3.4.5.6.7.8.9.Assets#3200,000 ==11==i||11 11$4Liabilities& LO%5++++Saved+++Paid-In Capital200,000< Prev++++++++Retained Earnings2 of 5‒‒‒XMacBook ProHelpNext >MACEDOC100% ZSave & Ex ewHistory Bookmarks Profiles Tab Window HelpProctoring Enable X +Octorio.com/secured#lockdownEnabled: Chapter 2 Required Homewor... i3. Purchased inventory on account at a cost of $62,000. The company uses the perpetual inventory system.4. Credit sales for the month totaled $70,000. The cost of the goods sold was $42,000.5. Paid $3,000 in rent on the warehouse building for the month of March.6. Paid $5,200 to an big insurance company for fire & liability insurance for a 1-year period beginning April 1, 2024.7. Paid $42,000 on account for the inventory purchased in transaction 3.8. Collected $31,500 from several customers on account.9. Recorded depreciation expense of $500 for the month on the equipment.Federal Hill Corporation had the following transactions occurred during March 2024. Federal Hill Corporation operates a wholesalewarehouse in Baltimore.1. Issued 20,000 shares of no-par common stock in exchange for $200,000 in cash.2. Purchased new equipment at a cost of $20,000. Cash of $5,000 was paid and a note payable to the seller was signed for thebalance owed.1.2.869 SAWN3.Required:Please carefully analyze each of Federal Hill Corporation's transaction and show the effect of each transaction on the expandedaccounting equation.Note: Amounts to be deducted should be indicated by a minus sign. Enter the net change on the accounting equation.4.5.6.7.8.9.Assets200,000==||=LiabilitiesSaved+ Paid-In Capital200,000+++< PrevShania TRAD++++Retained Earnings*2 of 5HelpMacBook ProNext >Save &100% [Q

Double entry system becomes the base for the preparation of Accounting Equation. Expanded form of…

Federal Hill Corporation had the following transactions occurred during March 2024. Federal Hill Corporation operates a wholesale warehouse in Baltimore. 1. Issued 20,000 shares of no-par common stock in exchange for $200,000 in cash. 2. Purchased new equipment at a cost of $20,000. Cash of $5,000 was paid and a note payable to the seller was signed for the balance owed. 3. Purchased inventory on account at a cost of $62,000. The company uses the perpetual inventory system. 4. Credit sales for the month totaled $70,000. The cost of the goods sold was $42,000. 5. Paid $3,000 in rent on the warehouse building for the month of March. 6. Paid $5,200 to an big insurance company for fire & liability insurance for a 1-year period beginning April 1, 2024. 7. Paid $42,000 on account for the inventory purchased in transaction 3. 8. Collected $31,500 from several customers on account. 9. Recorded depreciation expense of $500 for the month on the equipment. Required: Please carefully analyze each of Federal Hill Corporation's transaction and show the effect of each transaction on the expanded accounting equation. Note: Amounts to be deducted should be indicated by a minus sign. Enter the net change on the accounting equation. 1. 2. 3. 4. 5. 6. 7. 8. 9. Assets 200,000 = = = = = = = = = Liabilities + Paid-In Capital + Retained Earnings 200,000 + + + + + + + + + + + + + + + + + +

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q