Parrish 2-4 Pg. 34Using a Asset, Liability and Stockholders Equity please place the following transactions in the above columns with the amount of the transactions below and in the columns indicate if the transaction would be a Debit or Credit in the appropirate column(s)1)Tracy wrote a check out of her personal account to Tracy's T-Shirts for $3000 to begin the busines2) Tracy's T-Shirts bought a computer. The company paid $400 down and agreed to pay the remaining $1000 balance in 30 days3) Tracy's T-Shirts bought equipment for $2000 cash4) Tracy's T Shirts obtained a bank loan for $5000. The company must repay the loan plus 5% interest for 6 months5) Tracy's T Shirts bought t shs6) Tracey's TShirtsbought supplies for $300 cash7) Tracy Tshirts sold shirts to walk in customers for $5508) Tracy's Tshirts received its first big order. Kwame Jackson ordered $1200 worth of shirts forf his company's emplolyees9) Tracy's Tshirts paid $700 for rent10) Tracys Tshirts paid a ;phone bill of $20011) Tracy's Tshirts paid employees $50012) Tracys Tshirts had an unpaid electric bill at month-end for $10013) Calculate the total for assets,liabilities and equityCalculate Net Income (please show how you arrived at the answer)

Question
Asked Nov 13, 2019
60 views

Parrish 2-4 Pg. 34

Using a Asset, Liability and Stockholders Equity please place the following transactions in the above columns with the amount of the transactions below and in the columns indicate if the transaction would be a Debit or Credit in the appropirate column(s)

1)Tracy wrote a check out of her personal account to Tracy's T-Shirts for $3000 to begin the busines
2) Tracy's T-Shirts bought a computer. The company paid $400 down and agreed to pay the remaining $1000 balance in 30 days
3) Tracy's T-Shirts bought equipment for $2000 cash
4) Tracy's T Shirts obtained a bank loan for $5000. The company must repay the loan plus 5% interest for 6 months
5) Tracy's T Shirts bought t shs
6) Tracey's TShirtsbought supplies for $300 cash
7) Tracy Tshirts sold shirts to walk in customers for $550
8) Tracy's Tshirts received its first big order. Kwame Jackson ordered $1200 worth of shirts forf his company's emplolyees
9) Tracy's Tshirts paid $700 for rent
10) Tracys Tshirts paid a ;phone bill of $200
11) Tracy's Tshirts paid employees $500
12) Tracys Tshirts had an unpaid electric bill at month-end for $100
13) Calculate the total for assets,liabilities and equity
Calculate Net Income (please show how you arrived at the answer)

check_circle

Expert Answer

Step 1

The effect of the given transactions is shown in the accounting equation as below and t...

Stockholders' equity(S)
Liabilities(S)
Event
Assets(S)
no.
Cr.3,000 (Capital)|
Dr. 3,000 (Cash)
Dr.1,400(computer)
Cr.400 (Cash)
Dr. 2,000 (Equipment)
Cr. 2,000 (cash)
Dr. 5,000 (cash)
Dr. 1,000 (inventory)
Dr. 300 (Supplies)
Cr. 300 (Cash)
Dr. 550 (cash)
1
Cr. 1,000 (Accounts Payable)
2
3
Cr. 5,000 (Bank loan)
Cr. 1,000 (Accounts Payable)|
5
Cr. 550 (Revenue)
7
Cr. 1,200 (Revenue)
Dr. 1,200 (Accounts
Receivable)
Cr. 700 (Cash)
Cr. 200 (Cash)
Cr. 500 (Cash)
8
Dr. 700 (Rent expense)
Dr. 200 (Phone expense)
Dr. 500 (Salaries expense)
Dr. 100 (Utilities expense)
3,250
10
11
Cr.100 (Utilities payable)|
Z,100
12
Total
10,350
help_outline

Image Transcriptionclose

Stockholders' equity(S) Liabilities(S) Event Assets(S) no. Cr.3,000 (Capital)| Dr. 3,000 (Cash) Dr.1,400(computer) Cr.400 (Cash) Dr. 2,000 (Equipment) Cr. 2,000 (cash) Dr. 5,000 (cash) Dr. 1,000 (inventory) Dr. 300 (Supplies) Cr. 300 (Cash) Dr. 550 (cash) 1 Cr. 1,000 (Accounts Payable) 2 3 Cr. 5,000 (Bank loan) Cr. 1,000 (Accounts Payable)| 5 Cr. 550 (Revenue) 7 Cr. 1,200 (Revenue) Dr. 1,200 (Accounts Receivable) Cr. 700 (Cash) Cr. 200 (Cash) Cr. 500 (Cash) 8 Dr. 700 (Rent expense) Dr. 200 (Phone expense) Dr. 500 (Salaries expense) Dr. 100 (Utilities expense) 3,250 10 11 Cr.100 (Utilities payable)| Z,100 12 Total 10,350

fullscreen

Want to see the full answer?

See Solution

Check out a sample Q&A here.

Want to see this answer and more?

Solutions are written by subject experts who are available 24/7. Questions are typically answered within 1 hour.*

See Solution
*Response times may vary by subject and question.
Tagged in

Business

Accounting

Related Accounting Q&A

Find answers to questions asked by student like you

Show more Q&A add
question_answer

Q: 1. The $1,779,000 note receivable is dated May 1, 2016, bears interest at 8%, and represents the bal...

A: The principal portion and interest on notes need to be accounted seperately. Interest on notes recei...

question_answer

Q: Optima Company is a high-technology organization that produces a mass-storage system. The design of ...

A: Sales Budget : A Sales budget represents the quantity and the per unit sales price of the product or...

question_answer

Q: Required information The Foundational 15 [LO4-1, LO4-2, LO4-3, L04-4, LO4-5] [The following informat...

A: 1. The Finished goods transferred out has been commputed by adding opening WIP and units added to pr...

question_answer

Q: The costs of materials consumed in producing good units in the Production Department of Jacobs Compa...

A: Calculate the material cost per unit for the month of June.

question_answer

Q: What are the criteria for determining whether a sale of receivables has occurred?

A: Receivables: Receivables refer to an amount to be received in future. General classifications of rec...

question_answer

Q: Accept Business at Special Price Product D is normally sold for $43 per unit. A special price of $32...

A: Differential analysis:

question_answer

Q: 22. Gage’s accounting records included the following information: Inventory, 01-01-15               ...

A: Freight Out is a transportation expense incurred to move the good out of the manufacturers factory o...

question_answer

Q: Victoria Lilly is a practicing CPA. A long-time audit client has asked Lilly to design and implement...

A: 1. Difference between independence in "fact" and independence in "appearance".The independence in fa...

question_answer

Q: Sophie is a single taxpayer. For the first payroll period in July 2018, she is paid wages of $3,900 ...

A: a. Compute withholding amount for a monthly pay period for Sophie’s using percentage method as shown...