Explanation Trial balance : Trial balance is a summary of all the asset, liability, and equity accounts and their balances. Financial statements: Financial statements are condensed summary of transactions communicated in the form of reports for the purpose of decision making. Income statement: Income statement is a financial statement that shows the net income or net loss by deducting the expenses from the revenues and vice versa. Statement of owner's’ equity: This statement reports the beginning owner’s equity and all the changes which led to ending owner's’ equity. Balance Sheet: Balance Sheet summarizes the assets, the liabilities, and the Shareholder’s equity of a company at a given date. It is also known as the statement of financial status of the business. Prepare the Trial Balance of Company CM CAL: Trial Balance Month Ended April 30, 2019 Account Name Debit Credit Cash $ 73,843 Accounts Receivable $ 8,180 Automobile $ 38,500 Office Equipment $ 29,680 Office Furniture $ 6,500 Accounts Payable $ 20,980 CM, Capital $ 140,000 CM, Drawing $ 8,000 Fees Income $ 35,730 Automobile Expenses $ 2,750 Rent Expense $ 7,800 Salaries Expense $ 18,900 Utilities Expense $ 1,590 Telephone Expense $ 967 Total $ 196,710 $ 196,710 Table (1) Prepare the Income Statement of Company CM CAL: Company CM CAL Income Statement Month Ended April 30, 2019 Particulars Amount ($) Amount ($) Revenues Fees Income $ 35,730 Expenses

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Chapter 3, Problem 5PB

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Identify the change in the owner's equity during the month of April.

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Chapter 3, Problem 4PB

Chapter 3, Problem 1CTP

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What effect does recording depreciation expense have on the accounting equation?A. Increases assets and increases equityB. Decreases assets and decreases equityC. Increases liabilities and decreases equityD. No effect on assets or equity No AI

Chapter 3 Solutions

COLLEGE ACCOUNTING (LL)W/ACCESS>CUSTOM<

Ch. 3 - Increases are recorded on which side of asset,...Ch. 3 - What is a footing?Ch. 3 - Prob. 1.3SRQ Ch. 3 - Prob. 1.4SRE Ch. 3 - Prob. 1.5SRE Ch. 3 - Prob. 1.6SRA Ch. 3 - Prob. 2.1SRQ Ch. 3 - Prob. 2.2SRQ Ch. 3 - What is a trial balance and what is its purpose?Ch. 3 - Prob. 2.4SRE

Ch. 3 - Prob. 2.5SRE Ch. 3 - Prob. 2.6SRA Ch. 3 - Prob. 1CSR Ch. 3 - Prob. 2CSR Ch. 3 - Prob. 3CSR Ch. 3 - On which side of asset, liability, and owners...Ch. 3 - Prob. 5CSR Ch. 3 - Prob. 1DQ Ch. 3 - Prob. 2DQ Ch. 3 - Prob. 3DQ Ch. 3 - Prob. 4DQ Ch. 3 - Prob. 5DQ Ch. 3 - Prob. 6DQ Ch. 3 - Indicate whether each of the following types of...Ch. 3 - The terms debit and credit are often used in...Ch. 3 - Why is Prepaid Rent considered an asset account?Ch. 3 - Why is the modern system of accounting usually...Ch. 3 - Prob. 11DQ Ch. 3 - Prob. 1E Ch. 3 - Prob. 2E Ch. 3 - Prob. 3E Ch. 3 - Prob. 4E Ch. 3 - Prob. 5E Ch. 3 - Prob. 6E Ch. 3 - Prob. 7E Ch. 3 - Preparing a chart of accounts. The accounts that...Ch. 3 - Prob. 1PA Ch. 3 - Prob. 2PA Ch. 3 - Prob. 3PA Ch. 3 - Prob. 4PA Ch. 3 - The accountant for the firm owned by Randy Guttery...Ch. 3 - Prob. 1PB Ch. 3 - Prob. 2PB Ch. 3 - The following transactions took place at...Ch. 3 - Prob. 4PB Ch. 3 - Prob. 5PB Ch. 3 - Prob. 1CTP Ch. 3 - Prob. 2CTP Ch. 3 - In discussing a firms latest financial statements,...Ch. 3 - Prob. 2MF Ch. 3 - Prob. 3MF Ch. 3 - Prob. 4MF Ch. 3 - Prob. 1ED Ch. 3 - Prob. 1FSA

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