Ikaw passed the very difficult CPA board examination in October and immediately set-up his bookkeeping practice. During the first month of operation he completed the following transactions: a) Began the bookkeeping practice by placing P20,000 in bank account established for the business. b) Purchased a laptop computer for P30,000 - P10,000 in cash, balance in 5 monthly installments. c) Purchased office supplies for P4,000 on credit. d) Accepted P5,000 in cash for completing a bookkeeping contract. e) Billed clients P19,500 for services rendered during the month. f) Paid P2,000 of the amount owned for office supplies. g) Received P12,500 in cash from one client who had been previously billed for services rendered. h) Paid rent for the month in the amount of P12,000. i) Withdrew P400 from the practice for personal use. j) Paid monthly installment on the liability from the purchase of the laptop computer. REQUIRED: Show the effect of these transactions on the accounting equation by completing the table below. Identify each owner's equity transaction:

Ikaw passed the very difficult CPA board examination in October and immediately set-up his bookkeeping practice. During the first month of operation he completed the following transactions: a) Began the bookkeeping practice by placing P20,000 in bank account established for the business. b) Purchased a laptop computer for P30,000 - P10,000 in cash, balance in 5 monthly installments. c) Purchased office supplies for P4,000 on credit. d) Accepted P5,000 in cash for completing a bookkeeping contract. e) Billed clients P19,500 for services rendered during the month. f) Paid P2,000 of the amount owned for office supplies. g) Received P12,500 in cash from one client who had been previously billed for services rendered. h) Paid rent for the month in the amount of P12,000. i) Withdrew P400 from the practice for personal use. j) Paid monthly installment on the liability from the purchase of the laptop computer. REQUIRED: Show the effect of these transactions on the accounting equation by completing the table below. Identify each owner's equity transaction:

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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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The petty cash custodian reported the following transactions during the month. Prepare the journalentry to record the replenishment of the fund.A $10 cash payment is made to Starbucks to purchase coffee for a business client, a $40 cashpayment is made for supplies purchased from Office Depot, and a $30 cash payment is made toUPS to deliver goods to a customer
[The following information applies to the questions displayed below.] Rick Hall owns a card shop: Hall’s Cards. The following cash information is available for the month of August Year 1. As of August 31, the bank statement shows a balance of $13,250. The August 31 unadjusted balance in the Cash account of Hall’s Cards is $9,564. A review of the bank statement revealed the following information: A deposit of $1,250 on August 31, Year 1, does not appear on the August bank statement. It was discovered that a check to pay for baseball cards was correctly written and paid by the bank for $1,750 but was recorded on the books as $2,650. When checks written during the month were compared with those paid by the bank, three checks amounting to $4,095 were found to be outstanding. A debit memo for $59 was included in the bank statement for the purchase of a new supply of checks. Section A: Record the entry to correct the error created while recording check for inventory. Section B: Record…