Following are the transactions of JonesSpa Corporation, for the month of January a. Borrowed $25,000 from a local bank; the loan is due in 9 months. b. Lent $8,100 to an affiliate; accepted a note due in one year. c. Sold to investors 60 additional shares of stock with a par value of $0.10 per share and a market price of $15 per share; received cash. d. Purchased $24,500 of equipment, paying $4,700 cash and signing a note for the rest due in one year. e. Declared $2,100 in cash dividends to stockholders, to be paid in February For each of the above transactions, indicate the accounts and amounts. A sample is provided. Note: Enter decreases to an element of the balance sheet with a minus sign. a. Cash b. b. C. C. d. d. e. Assets Liabilities 25,000 Notes payable 25,000+ + + Stockholders' Equity
Following are the transactions of JonesSpa Corporation, for the month of January a. Borrowed $25,000 from a local bank; the loan is due in 9 months. b. Lent $8,100 to an affiliate; accepted a note due in one year. c. Sold to investors 60 additional shares of stock with a par value of $0.10 per share and a market price of $15 per share; received cash. d. Purchased $24,500 of equipment, paying $4,700 cash and signing a note for the rest due in one year. e. Declared $2,100 in cash dividends to stockholders, to be paid in February For each of the above transactions, indicate the accounts and amounts. A sample is provided. Note: Enter decreases to an element of the balance sheet with a minus sign. a. Cash b. b. C. C. d. d. e. Assets Liabilities 25,000 Notes payable 25,000+ + + Stockholders' Equity
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Following are the transactions of JonesSpa Corporation, for the month of January.
a. Borrowed $25,000 from a local bank; the loan is due in 9 months.
b. Lent $8,100 to an affiliate; accepted a note due in one year.
c. Sold to investors 60 additional shares of stock with a par value of $0.10 per share and a market price of $15 per share; received
cash.
d. Purchased $24,500 of equipment, paying $4,700 cash and signing a note for the rest due in one year.
e. Declared $2,100 in cash dividends to stockholders, to be paid in February.
For each of the above transactions, indicate the accounts and amounts. A sample is provided.
Note: Enter decreases to an element of the balance sheet with a minus sign.
Assets
a. Cash
b.
b.
Liabilities
25,000 Notes payable
25,000+
+
=
+
C.
+
C.
+
d.
+
d.
=
e.
=
+
e.
Stockholders' Equity
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