The trial balance of Pacilio Security Services, Inc. as of January 1, Year 1, was as follows: Cash $8,500 Land $4,000 Notes Payable $5,000 Common Stock $6,000 Retained Earnings $1,500 During Year 1, Pacilio Security Services experienced the following transactions: Acquired an additional $2,000 from the issue of common stock. Paid $3,000 on the debt owed to the Small Business Government Agency. The loan is interest-free. Performed $21,000 of security services for numerous local events during the year; $15,000 was on account and $6,000 was cash. On May 1, rented a small office building. Paid $2,400 for 12 months’ rent in advance. Purchased supplies on account for $650. Paid salaries expense for the year of $8,000. Incurred other operating expenses on account, $6,200. On September 1, Year 1, a customer paid $600 for services to be provided over the next six months. Collected $13,500 of accounts receivable during the year. Paid $5,800 on accounts payable. Paid $1,500 of advertising expenses for the year. Paid a cash dividend to the shareholders of $1,000. The market value of the land was determined to be $5,000 at December 31, Year 1. Information for Adjustments There was $65 of supplies on hand at the end of the year. Recognized the expired rent. Recognized the revenue earned from Transaction 8. Accrued salaries were $1,200 at December 31, Year 1. Record the above transactions in an accounting equation. Provide the appropriate account titles for the amounts shown in the Retained Earnings column. Notes: Use the following format to record the transactions (the first transaction is recorded). Pacilio Security Services, Inc. Event Cash + Acct. Rec. + Supp. + Pp. Rent + Land = Accts. Pay + Sal. Pay. + Unear. Rev. + Notes Pay. + Com. Stock + Ret. Earn. Acct. Titles B. Bal. 8,500 + NA + NA + NA + 4,000 = NA + NA + NA + 5,000 + 6,000 + 1,500 Prepare the following for Year 1: statement of cash flows

The trial balance of Pacilio Security Services, Inc. as of January 1, Year 1, was as follows: Cash $8,500 Land $4,000 Notes Payable $5,000 Common Stock $6,000 Retained Earnings $1,500 During Year 1, Pacilio Security Services experienced the following transactions: Acquired an additional $2,000 from the issue of common stock. Paid $3,000 on the debt owed to the Small Business Government Agency. The loan is interest-free. Performed $21,000 of security services for numerous local events during the year; $15,000 was on account and $6,000 was cash. On May 1, rented a small office building. Paid $2,400 for 12 months’ rent in advance. Purchased supplies on account for $650. Paid salaries expense for the year of $8,000. Incurred other operating expenses on account, $6,200. On September 1, Year 1, a customer paid $600 for services to be provided over the next six months. Collected $13,500 of accounts receivable during the year. Paid $5,800 on accounts payable. Paid $1,500 of advertising expenses for the year. Paid a cash dividend to the shareholders of $1,000. The market value of the land was determined to be $5,000 at December 31, Year 1. Information for Adjustments There was $65 of supplies on hand at the end of the year. Recognized the expired rent. Recognized the revenue earned from Transaction 8. Accrued salaries were $1,200 at December 31, Year 1. Record the above transactions in an accounting equation. Provide the appropriate account titles for the amounts shown in the Retained Earnings column. Notes: Use the following format to record the transactions (the first transaction is recorded). Pacilio Security Services, Inc. Event Cash + Acct. Rec. + Supp. + Pp. Rent + Land = Accts. Pay + Sal. Pay. + Unear. Rev. + Notes Pay. + Com. Stock + Ret. Earn. Acct. Titles B. Bal. 8,500 + NA + NA + NA + 4,000 = NA + NA + NA + 5,000 + 6,000 + 1,500 Prepare the following for Year 1: statement of cash flows

Financial Reporting, Financial Statement Analysis and Valuation

8th Edition

ISBN:9781285190907

Author:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw

Publisher:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw

Chapter2: Asset And Liability Valuation And Income Recognition

Section: Chapter Questions

Problem 20PC: Analyzing Transactions. Using the analytical framework, indicate the effect of the following related...

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The trial balance of Pacilio Security Services, Inc. as of January 1, Year 1, was as follows:

Cash	$8,500
Land	$4,000
Notes Payable	$5,000
Common Stock	$6,000
Retained Earnings	$1,500

During Year 1, Pacilio Security Services experienced the following transactions:

Acquired an additional $2,000 from the issue of common stock.
Paid $3,000 on the debt owed to the Small Business Government Agency. The loan is interest-free.
Performed $21,000 of security services for numerous local events during the year; $15,000 was on account and $6,000 was cash.
On May 1, rented a small office building. Paid $2,400 for 12 months’ rent in advance.
Purchased supplies on account for $650.
Paid salaries expense for the year of $8,000.
Incurred other operating expenses on account, $6,200.
On September 1, Year 1, a customer paid $600 for services to be provided over the next six months.
Collected $13,500 of accounts receivable during the year.
Paid $5,800 on accounts payable.
Paid $1,500 of advertising expenses for the year.
Paid a cash dividend to the shareholders of $1,000.
The market value of the land was determined to be $5,000 at December 31, Year 1.

Information for Adjustments

There was $65 of supplies on hand at the end of the year.
Recognized the expired rent.
Recognized the revenue earned from Transaction 8.
Accrued salaries were $1,200 at December 31, Year 1.

Record the above transactions in an accounting equation. Provide the appropriate account titles for the amounts shown in the Retained Earnings column.

Notes:

Use the following format to record the transactions (the first transaction is recorded).

Pacilio Security Services, Inc.

Event

Cash

Acct.

Rec.

Supp.

Pp.

Rent

Land

Accts.

Pay

Sal.

Pay.

Unear.

Rev.

Notes

Pay.

Com. Stock

Ret. Earn.

Acct.

Titles

B. Bal.

8,500

4,000

5,000

6,000

1,500

Prepare the following for Year 1:

statement of cash flows

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