On June 1 of the current year, Chad Wilson established a business to manage rental property. He completed the following transactions during June: a. Opened a business bank account with a deposit of $42,000 from personal funds. D. Purchased office supplies on account, $3,370. E. Received cash from fees earned for managing rental property, $9,550. d. Paid rent on office and equipment for the month, $4,130. e. Paid creditors on account, $1,530. f. Billed customers for fees earned for managing rental property, $7,640. g. Paid automobile expenses (including rental charges) for the month, $920, and miscellaneous expenses, $460. n. Paid office salaries, $2,900. I. Determined that the cost of supplies on hand was $1,990; therefore, the cost of supplies used was $1,380. j. Withdrew cash for personal use, $2,750.

On June 1 of the current year, Chad Wilson established a business to manage rental property. He completed the following transactions during June: a. Opened a business bank account with a deposit of $42,000 from personal funds. D. Purchased office supplies on account, $3,370. E. Received cash from fees earned for managing rental property, $9,550. d. Paid rent on office and equipment for the month, $4,130. e. Paid creditors on account, $1,530. f. Billed customers for fees earned for managing rental property, $7,640. g. Paid automobile expenses (including rental charges) for the month, $920, and miscellaneous expenses, $460. n. Paid office salaries, $2,900. I. Determined that the cost of supplies on hand was $1,990; therefore, the cost of supplies used was $1,380. j. Withdrew cash for personal use, $2,750.

Name: Bal.f.Bal.g.Bal.h.Bal.i.Bal.j.Bal.2. Owner's equity is the right of o
Uploaded: 2024-03-04T10:43:15.000Z
Channel: Bartleby
Description: Bal.f.Bal.g.Bal.h.Bal.i.Bal.j.Bal.2. Owner's equity is the right of owners to the assets of the business. These rights areby owner's investments and revenues andby owner's withdrawals and expenses.3. Determine the net income for June.4. June's trans

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

On June 1 of the current year, Chad Wilson established a business to manage rental property. He completed the following transactions during June: a. Opened a business bank account with a deposit of $39,000 from personal funds. b. Purchased office supplies on account, $2,320. C. Received cash from fees earned for managing rental property, $6,600. d. Paid rent on office and equipment for the month, $2,85s0. e. Paid creditors on account, $1,060. f. Billed customers for fees eamed for managing rental property, $5,280. g. Paid automobile expenses (including rental charges) for the month, $630, and miscellaneous expenses, $320. h. Paid office salaries, $2,010. i. Determined that the cost of supplies on hand was $1,370; therefore, the cost of supplies used was $950. j. Withdrew cash for personal use, $1,900. Required: 1. Indicate the effect of each transaction and the balances after each transaction: For those boxes in which no entry is required, leave the box blank. For those boxes in which…
The following are the transactions of Spotlighter, Incorporated, for the month of January. a. Borrowed $4,390 from a local bank on a note due in six months. b. Received $5,080 cash from investors and issued common stock to them. c. Purchased $1,900 in equipment, paying $650 cash and promising the rest on a note due in one year. d. Paid $750 cash for supplies. e. Bought and received $1,150 of supplies on account. Required: Post the effects to the appropriate T-accounts and determine ending account balances. Show a beginni Debit Beginning Balance Ending Balance Debit F Cash Equipment Credit Credit Debit Beginning Balance Ending Balance Debit Supplies Accounts Payable
On June 1 of the current year, Chris Bates established a business to manage rental property. The following transactions were completed during June: Opened a business bank account with a deposit of $29,000 in exchange for common stock. Purchased office supplies on account, $3,590. Received cash from fees earned for managing rental property, $9,700. Paid rent on office and equipment for the month, $4,400. Paid creditors on account, $1,630. Billed customers for fees earned for managing rental property, $8,150. Paid automobile expenses for month, $980, and miscellaneous expenses, $490. Paid office salaries, $3,100. Determined that the cost of supplies on hand was $2,120; therefore, the cost of supplies used was $1,470. Paid dividends, $2,930. Required: 1. Indicate the effect of each transaction and the balances after each transaction:If an amount box does not require an entry, leave it blank.For those boxes in which you must enter subtractive or negative numbers use a minus sign.…
On November 2, 2006, Mark established an interior decorating business flourishing designs. During the remainder of the month, Mark completed the following transactions related to the business: Nov 2. Mark transferred cash form a personal bank account to an account to be used for the business in exchange for capital stock, $15000. Nov 5. Paid rent for period of November 5 to end of month, $1750. Nov 6. Purchased office equipment on account, $8500. Nov 8. Purchased a used truck for $18000, paying $5000 cash and giving a note payable for the remainder. Nov 10. Purchased supplies for cash, $1115. Nov 12. Received cash for job completed $7500. Nov 15. Paid annual premiums on property and casualty insurance $1400. Nov 23. Recorded jobs completed on account and sent invoices to customers, $3950. Nov 24. Received an invoice for truck expenses, to be paid in December, $600. Nov 29. Paid utilities expense, $750. Nov 29. Paid miscellaneous expense, $310. Nov 30. Received cash from customers on…
On September 1 of the current year, Joy Tucker established a business to manage rental property. She completed the following transactions during September: Opened a business bank account with a deposit of $36,000 in exchange for common stock. Purchased office supplies on account, $1,800. Received cash from fees earned for managing rental property, $6,750. Paid rent on office and equipment for the month, $5,000. Paid creditors on account, $1,375. Billed customers for fees earned for managing rental property, $9,500. Paid automobile expenses for month, $840, and miscellaneous expenses, $960. Paid office salaries, $3,600. Determined that the cost of supplies on hand was $350; therefore, the cost of supplies used was $1,450. Paid dividends, $3,000. Required: 1. Indicate the effect of each transaction and the balances after each transaction:For those boxes in which no entry is required, leave the box blank.For those boxes in which you must enter subtractive or negative numbers use a…
On April 1 of the current year, Morgan Jones established a business to manage rental property. She completed the following transactions during April: Opened a business bank account with a deposit of $43,000 in exchange for common stock. Purchased office supplies on account, $3,250. Received cash from fees earned for managing rental property, $8,880. Paid rent on office and equipment for the month, $3,980. Paid creditors on account, $1,470. Billed customers for fees earned for managing rental property, $7,370. Paid automobile expenses for month, $880, and miscellaneous expenses, $440. Paid office salaries, $2,800. Determined that the cost of supplies on hand was $1,920; therefore, the cost of supplies used was $1,330. Paid dividends, $2,650. Required: 1. Indicate the effect of each transaction and the balances after each transaction:For those boxes in which no entry is required, leave the box blank.For those boxes in which you must enter subtractive or negative numbers use a minus…
Ken Jones, an architect, opened an office on April 1, 2019. During the month, he completed the following transactions connected with his professional practice:a. Transferred cash from a personal bank account to an account to be used for the business, $18,000.b. Purchased used automobile for $19,500, paying $2,500 cash and giving a note payable for the remainder.c. Paid April rent for office and workroom, $3,150.d. Paid cash for supplies, $1,450.e. Purchased office and computer equipment on account, $6,500.f. Paid cash for annual insurance policies on automobile and equipment, $2,400.g. Received cash from a client for plans delivered, $12,000.h. Paid cash to creditors on account, $1,800.i. Paid cash for miscellaneous expenses, $375.j. Received invoice for blueprint service, due in May, $2,500.k. Recorded fees earned on plans delivered, payment to be received in May, $15,650.l. Paid salary of assistant, $2,800.m. Paid cash for miscellaneous expenses, $200.n. Paid $300 on note payable.o.…
On June 1 of the current year, Chris Bates established a business to manage rental property. The following transactions were completed during June: Opened a business bank account with a deposit of $27,000 in exchange for common stock. Purchased office supplies on account, $3,110. Received cash from fees earned for managing rental property, $8,830. Paid rent on office and equipment for the month, $3,810. Paid creditors on account, $1,410. Billed customers for fees earned for managing rental property, $7,060. Paid automobile expenses for month, $850, and miscellaneous expenses, $420. Paid office salaries, $2,680. Determined that the cost of supplies on hand was $1,840; therefore, the cost of supplies used was $1,270. Paid dividends, $2,540. Required: 1. Indicate the effect of each transaction and the balances after each transaction: If an amount box does not require an entry, leave it blank. For those boxes in which you must enter subtractive or negative numbers use a minus sign.…
Prepare a statement of financial position.
On November 1, 20Y9, Lexi Martin established an interior decorating business, Heritage Designs. During the month, Lexi completed the following transactions related to the business: Nov. 1 Lexi transferred cash from a personal bank account to an account to be used for the business in exchange for common stock, $50,000. 1 Paid rent for period of November 1 to end of month, $4,000. 6 Purchased office equipment on account, $15,000. 8 Purchased a truck for $38,500 paying $5,000 cash and giving a note payable for the remainder. 10 Purchased supplies for cash, $1,750. 12 Received cash for job completed, $11,500. 15 Paid annual premiums on property and casualty insurance, $2,400. 23 Recorded jobs completed on account and sent invoices to customers, $22,300. 24 Received an invoice for truck expenses, to be paid in November, $1,250. Enter the following transactions on Page 2 of the two-column journal: Nov. 29 Paid utilities expense, $4,500. 29…
For the past several years, John Addams has operated a part-time business from his home. As of April 1, 2016, John decided to move to rented quarters and to operate the business, which was to be known as Addams & Family Inc., on a full-time basis. Addams & Family entered into the following transactions during April: April4: The following assets were received from John Addams: cash, Rs.10,000 accounts receivable, Rs.1,500; supplies, Rs.1,250; and office equipment, Rs.7,500. • April4: Paid three months' rent on a lease rental contract, Rs.4,500 • April4: Paid the premium on property and casualty insurance policies for the year, Rs.1,800 • April 6: Received cash from clients as an advance payment for services to be provided, Rs.3,000 • April 7: Purchased additional office furniture on account from Morrilton Company, Rs.1,800 • Aprils: Received cash from clients on account, Rs.800. . April 11: Paid cash for newspaper advertisement, Rs.120. • April 15: Recorded services provided on account…
Les Stanley established an insurance agency on July 1, 20Y5, and completed the following transactions during July: Opened a business bank account in the name of Stanley Insurance Inc., with a deposit of $48,000 in exchange for common stock. Borrowed $25,000 by issuing a note payable. Received cash from fees earned, $28,500. Paid rent on office and equipment for the month, $2,600. Paid automobile expense for the month, $1,800, and miscellaneous expense, $1,000. Paid office salaries, $4,200. Paid interest on the note payable, $90. Purchased land as a future building site, $60,000. Paid dividends, $4,300. Instructions: 1. Indicate the effect of each transaction and the balances after each transaction, using the integrated financial statement framework. If an amount box does not require an entry, leave it blank. Enter account decreases and net cash outflows as negative amounts. 2. Which of the following shows the correct effect on the accounting equation for a utility expense…