Fill in each of following T-accounts for Belle Co's seven transactions listed here. The T-accounts represent Belle Co's general ledger. Code each entry with transaction number 1 through 7 (in order) for reference. 1. D. Belle created a new business and invested $6,700 cash, $7,600 of equipment, and $10,800 in web servers. 2. The company paid $4,000 cash in advance for prepaid insurance coverage. 3. The company purchased $700 of supplies on account. 4. The company paid $600 cash for selling expenses. 5. The company received $4,500 cash for services provided. 6. The company paid $700 cash toward accounts payable. 7. The company paid $2,900 cash for equipment.
Fill in each of following T-accounts for Belle Co's seven transactions listed here. The T-accounts represent Belle Co's general ledger. Code each entry with transaction number 1 through 7 (in order) for reference. 1. D. Belle created a new business and invested $6,700 cash, $7,600 of equipment, and $10,800 in web servers. 2. The company paid $4,000 cash in advance for prepaid insurance coverage. 3. The company purchased $700 of supplies on account. 4. The company paid $600 cash for selling expenses. 5. The company received $4,500 cash for services provided. 6. The company paid $700 cash toward accounts payable. 7. The company paid $2,900 cash for equipment.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Fill in each of following T-accounts for Belle Co's seven transactions listed here. The T-accounts represent Belle Co's general ledger.
Code each entry with transaction number 1 through 7 (in order) for reference.
1. D. Belle created a new business and invested $6,700 cash, $7,600 of equipment, and $10,800 in web servers.
2. The company paid $4,000 cash in advance for prepaid insurance coverage.
3. The company purchased $700 of supplies on account.
4. The company paid $600 cash for selling expenses.
5. The company received $4,500 cash for services provided.
6. The company paid $700 cash toward accounts payable.
7. The company paid $2,900 cash for equipment.
Cash
Equipment
End. bal.
End. bal.
D.Belle, Capital
Supplies
End. bal.
End. bal.
Transcribed Image Text:D.Belle, Capital
Supplies
End. bal.
End. bal.
Web Servers
Service Revenue
End. bal.
End. bal.
Prepaid Insurance
Accounts Payable
End. bal.
End. bal.
Selling Expense
End. bal.
Expert Solution
Step 1
As per double entry system of accounting, for every transaction atleast two accounts should be effected. Atleast one account should be debited and atleast one account should be credited.
Accounting equation that is:
Assets = Liabilities + Equity, should be equal after every transaction recording.
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