Homework Help is Here – Start Your Trial Now!
Business
Accounting
Baseu Un uC Diem 0, prepare a list Of Casn IIIUWS anu UutIuwS TOr Cody's Place for its first month of operations. Problem 8 Dwayne Kent on January 1, 20X1, opened the Double K Inn, a ten-room lodging facility. During the first three days the following transactions were completed. al He invested $50,000 of his personal cash in a bank account opened in the name of Double K Inn. b. He paid $2,000 for the month of January to lease a building containing the ten guest- rooms. c. He rented rooms for the three days and collected an average of $50 per room for the fifteen rooms that were "sold." Treat this activity as a single transaction to keep things simple. 15x50=50. d. He purchased guest supplies on account from Hotel Suppliers, Inc., for $300. e. He paid an advertising bill of $500. Required: 1. Arrange the following asset, liability, and proprietorship titles in an expanded accounting equation like that shown in the chapter: Cash, Guest Supplies, Prepaid Rent, Accounts Payable, and Dwayne Kent, Capital. Show by additions and subtractions the effects of each transaction on the assets, liabili- 2. ties, and proprietorship of the Double K Inn. Show net totals for all items after each transaction.

Baseu Un uC Diem 0, prepare a list Of Casn IIIUWS anu UutIuwS TOr Cody's Place for its first month of operations. Problem 8 Dwayne Kent on January 1, 20X1, opened the Double K Inn, a ten-room lodging facility. During the first three days the following transactions were completed. al He invested $50,000 of his personal cash in a bank account opened in the name of Double K Inn. b. He paid $2,000 for the month of January to lease a building containing the ten guest- rooms. c. He rented rooms for the three days and collected an average of $50 per room for the fifteen rooms that were "sold." Treat this activity as a single transaction to keep things simple. 15x50=50. d. He purchased guest supplies on account from Hotel Suppliers, Inc., for $300. e. He paid an advertising bill of $500. Required: 1. Arrange the following asset, liability, and proprietorship titles in an expanded accounting equation like that shown in the chapter: Cash, Guest Supplies, Prepaid Rent, Accounts Payable, and Dwayne Kent, Capital. Show by additions and subtractions the effects of each transaction on the assets, liabili- 2. ties, and proprietorship of the Double K Inn. Show net totals for all items after each transaction.

College Accounting, Chapters 1-27
College Accounting, Chapters 1-27
23rd Edition
ISBN:9781337794756
Author:HEINTZ, James A.
Publisher:HEINTZ, James A.
Chapter3: The Double-entry Framework
Section: Chapter Questions
Problem 8SEB: ANALYSIS OF TRANSACTIONS Nicole Lawrence opened a business called Nickies Neat Ideas in January...
See similar textbooks
icon
Related questions
Question

My textbook is Hospitality Industry Financial Accou( 4th edition). I am now in chapter 1- Introduction to Accounting.                        Problem 8 asks me to do two tasks, which will be available in the image.

Baseu Un uC Diem 0, prepare a list Of Casn IIIUWS anu UutIuwS TOr Cody's Place for its first month of operations. Problem 8 Dwayne Kent on January 1, 20X1, opened the Double K Inn, a ten-room lodging facility. During the first three days the following transactions were completed. al He invested $50,000 of his personal cash in a bank account opened in the name of Double K Inn. b. He paid $2,000 for the month of January to lease a building containing the ten guest- rooms. c. He rented rooms for the three days and collected an average of $50 per room for the fifteen rooms that were "sold." Treat this activity as a single transaction to keep things simple. 15x50=50. d. He purchased guest supplies on account from Hotel Suppliers, Inc., for $300. e. He paid an advertising bill of $500. Required: 1. Arrange the following asset, liability, and proprietorship titles in an expanded accounting equation like that shown in the chapter: Cash, Guest Supplies, Prepaid Rent, Accounts Payable, and Dwayne Kent, Capital. Show by additions and subtractions the effects of each transaction on the assets, liabili- 2. ties, and proprietorship of the Double K Inn. Show net totals for all items after each transaction.
Transcribed Image Text:Baseu Un uC Diem 0, prepare a list Of Casn IIIUWS anu UutIuwS TOr Cody's Place for its first month of operations. Problem 8 Dwayne Kent on January 1, 20X1, opened the Double K Inn, a ten-room lodging facility. During the first three days the following transactions were completed. al He invested $50,000 of his personal cash in a bank account opened in the name of Double K Inn. b. He paid $2,000 for the month of January to lease a building containing the ten guest- rooms. c. He rented rooms for the three days and collected an average of $50 per room for the fifteen rooms that were "sold." Treat this activity as a single transaction to keep things simple. 15x50=50. d. He purchased guest supplies on account from Hotel Suppliers, Inc., for $300. e. He paid an advertising bill of $500. Required: 1. Arrange the following asset, liability, and proprietorship titles in an expanded accounting equation like that shown in the chapter: Cash, Guest Supplies, Prepaid Rent, Accounts Payable, and Dwayne Kent, Capital. Show by additions and subtractions the effects of each transaction on the assets, liabili- 2. ties, and proprietorship of the Double K Inn. Show net totals for all items after each transaction.
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps with 2 images

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
U.S. Generally Accepted Accounting Principles (GAAP) Provisions
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
College Accounting, Chapters 1-27
College Accounting, Chapters 1-27
Accounting
ISBN:
9781337794756
Author:
HEINTZ, James A.
Publisher:
Cengage Learning,
College Accounting (Book Only): A Career Approach
College Accounting (Book Only): A Career Approach
Accounting
ISBN:
9781337280570
Author:
Scott, Cathy J.
Publisher:
South-Western College Pub
College Accounting (Book Only): A Career Approach
College Accounting (Book Only): A Career Approach
Accounting
ISBN:
9781305084087
Author:
Cathy J. Scott
Publisher:
Cengage Learning
Principles of Accounting Volume 1
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College
Financial And Managerial Accounting
Financial And Managerial Accounting
Accounting
ISBN:
9781337902663
Author:
WARREN, Carl S.
Publisher:
Cengage Learning,
Century 21 Accounting General Journal
Century 21 Accounting General Journal
Accounting
ISBN:
9781337680059
Author:
Gilbertson
Publisher:
Cengage
SEE MORE TEXTBOOKS