Please let me know what is wrong with answers in red. This information relates to Pina Real Estate Agency.Oct. 1Stockholders invest $30,200 in exchange for common stock of the corporation.2Hires an administrative assistant at an annual salary of $31,320.3Buys office furniture for $3,720, on account.6Sells a house and lot for E. C. Roads; commissions due from Roads, $10,110 (not paid by Roads at this time).10Receives cash of $240 as commission for acting as rental agent renting an apartment.27Pays $620 on account for the office furniture purchased on October 3.30Pays the administrative assistant $2,610 in salary for October.DateAccount Titles and ExplanationDebit Credit30,20030,200Oct. 1CashCommon Stock2No entry3Equipment3,720Accounts Payable3,7206Accounts Receivable10,110Service Revenue10,11010Cash240Service Revenue24027Accounts Payable620Cash62030Salaries and Wages Expense2,610Cash2,610CashOct. 1Oct. 10Bal.30,200Oct. 27620240Oct. 302,61030,440Bal.Accounts ReceivableOct. 610,110Bal.Oct. 3Bal.10,110Equipment3,7203,720Accounts Payable3,230Oct. 27620Oct. 33,720Bal.620Bal.3,720

T-accounts: Cash Cash's normal balance is on the debit side. Debit amounts will increase its…

Answered: This information relates to Pina Real…

SWFT Comprehensive Vol 2020

43rd Edition

ISBN:9780357391723

Author:Maloney

Publisher:Maloney

Chapter18: Corporations: Organization And Capital Structure

Section: Chapter Questions

Problem 24CE

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The following transactions apply to Pecan Co. for Year 1, its first year of operations: 1. Received $40,000 cash in exchange for issuance of common stock. 2. Secured a $111,000 ten-year installment loan from State Bank. The interest rate is 6 percent and annual payments are $15,081. 3. Purchased land for $25,000. 4. Provided services for $80,000. 5. Paid other operating expenses of $49,000. 6. Paid the annual payment on the loan. Required a. Organize the transaction data in accounts under an accounting equation. b. Prepare an income statement and balance sheet for Year 1. c. What is the interest expense for Year 2? Year 3? Complete this question by entering your answers in the tabs below. Req B Inc Stmt Req B Bal Sheet Req A Reg C Prepare a balance sheet for Year 1. PECAN COMPANY Balance Sheet As of December 31, Year 1 Assets
The following transactions apply to Pecan Co. for Year 1, its first year of operations: 1. Received $33,000 cash in exchange for issuance of common stock. 2. Secured a $101,000 ten-year installment loan from State Bank. The interest rate is 6 percent and annual payments are $13,723. 3. Purchased land for $27,000. 4. Provided services for $95,000. 5. Paid other operating expenses of $49.000. 6. Paid the annual payment on the loan. Required a. Organize the transaction data in accounts under an accounting equation. b. Prepare an income statement and balance sheet for Year 1. c. What is the interest expense for Year 2? Year 3? Complete this question by entering your answers in the tabs below. Req A Req B Inc Stmt Req B Bal Sheet Req C Organize the transaction data in accounts under an accounting equation. (Enter any decreases to account balances with a minus sign. If there is no effect on the Account Titles for Retained Earnings, leave the cell blank. Not all cells will require entry.)
Rainey Enterprises loaned $50,000 to Small Co. on June 1, Year 1, for one year at 6 percent interest. Required Show the effects of the following transactions in a horizontal statements. In the Cash Flow column, indicate whether the item is an operating activity (OA), an investing activity (IA), or a financing activity (FA). For any element not affected by the event, leave the cell blank. (Not every cell will require entry. Do not round intermediate calculations. Enter any decreases to account balances and cash outflows with a minus sign. Round your answers to the nearest whole dollar.) (1) The loan to Small Co. (2) The adjusting entry at December 31, Year 1. (3) The adjusting entry and collection of the note on June 1, Year 2. RAINEY ENTERPRISES Horizontal Statements Model Assets Equity Income Statement Date Statement of Cash Flow Liabilities Notes Receivable Interest Retained Earnings Cash Receivable Revenue Expense Net Income 1.6/1/Y1 2. 1201/Y1 a. 6/1/Y2 (Adjusting entry) 6/1/Y2…
Wilkes Company had the following transactions during the current year: • Earned revenues of $100,000 and incurred expenses of $56,000, all in cash. • Purchased a truck for $25,000. • Sold land for $10,000. • Borrowed $15,000 from a local bank. ok nt What was the total change in cash during the year? ences in cash aw ... 17°C IR
Determine the dollar effect on the accounting equation (increase or decrease assets, liabilities, or stockholders’ equity) from the following separate transactions. a. Dillon contributes $4,000 of cash to his corporation in exchange for common stock. b. Cowboy Corporation purchases equipment with a 10-year note payable for $1,600. c. Queen Bee pays off $1,300 of accounts payable.
Park & Company was recently formed with a $6,400 investment in the company by stockholders in exchange for common stock. The company then borrowed $3,400 from a local bank, purchased $1,140 of supplies on account, and also purchased $6,400 of equipment by paying $2,140 in cash and signing a promissory note for the balance. Based on these transactions, the company's total assets are: Multiple Choice $9,800. $15,200. $12,800. $11,940.
Rainey enterprises loaned $50,000 to Small Co. on June 1, Year 1, for one year at 6% interest. Rainey Enterprises loaned $50,000 to Small Co. on June 1, Year 1, for one year at 6 percent interest. Required Show the effects of the following transactions in a horizontal statements. In the Cash Flow column, indicate whether the item is an operating activity (OA), an investing activity (IA), or a financing activity (FA). For any element not affected by the event, leave the cell blank. (Not every cell will require entry. Do not round intermediate calculations. Enter any decreases to account balances and cash outflows with a minus sign. Round your answers to the nearest whole dollar.) (1) The loan to Small Co. (2) The adjusting entry at December 31, Year 1. (3) The adjusting entry and collection of the note on June 1, Year 2. RAINEY ENTERPRISES Horizontal Statements Model Assets Equity Income Statenment Statement of Cash Flow Date Liabilinies Notes Receivable Interest Receivable Retained…
Now ant evaluating the balance sheet for Mari Corporation. from the balance sheet you find the following balances Cast and marketable securities = $420,000, Ramunds Race hase = $ 80000 inventony = $t. 120.000. Prepaid Rent Expense= $360. 000 Accrued Taves = $24.00 Accounts Payeble = $1.030.000 Notes Payable = $ 370.000 Net Profit After Tax $ 250.000 What is the amount of Marin's Net Working Capital?
Manji
a. Received $9,640 cash for consulting services rendered. b. Issued 38 additional shares of common stock at a market price of $190 per share. c. Purchased $780 of office equipment, paying 15 percent in cash and owing the rest on a short-term note. d. Received $1,030 from clients for consulting services to be performed in the next year. e. Bought $610 of supplies on account. f. Incurred and paid $1,940 in utilities for the current year. g. Consulted for clients in the current year for fees totaling $1,760, due from clients in the next year. h. Received $3,120 from clients paying on their accounts. L Incurred $6,350 in salaries in the current year, paying $5,440 and owing the rest (to be paid next year). JPurchased $1,370 in short-term investments and paid $940 for insurance coverage beginning in the next fiscal year. k. Received $80 in interest revenue earned in the current year on short-term investments. 4. What would net income be if Conover, Inc., used the cash basis of accounting?…
3. Pagadian, Inc. reported the following during the year: P400,000 proceeds of life insurance of an officer where Pagadian is the beneficiary (P600,000 still uncollected.) P800,000 interest income, exclusive of P200,000 uncollected and accrued interest P300,000 increase in value of investment in stocks Compute the gross income under cash basis. P 800,000 b. P1,000,000 c. P1,200,000 d. P1,400,000 a.
s

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