=Liabilities + Assets Owner's Equity Seth Feye, Payable Capital -Drawing Earned Seth Salaries Supplies Accounts Accounts Feye, Fees Rent Auto Misc Receivable +Supplies Expense Expense Cash Expense Expense Expense +50,000 +50,000 а. b. +7,000 +7,000 Bal 50,000 7,000 7,000 50,000 3,600 3,600 C. Bal 7,000 3,400 46,400 50,000 d. 110,000 Bal +110,000 7,000 156,400 3,400 50,000 110,000 33,000 -33,000 е. Bal 123,400 50,000 110,000 -33,000 7,000 3,400 f. -16,000 -4,800 -20,800 Bal. 7,000 3,400 -33,000 -4,800 102,600 50,000 110,000 -16,000 -55,000 -55,000 g. Bal. 7,000 50,000 47,600 3,400 110,000 -55,000 33,000 -16,000 -4,800 h. -4,500 -4,500 Bal 47,600 2,500 3,400 50,000 110,000 -55,000 33,000 -16,000 -4,500 -4,800 34,500 i. +34,500 Bal. 50,000 47,600 34,500 2,500 3,400 144,500 -55,000 -33,000 -16,000 -4,500 -4,800 j. -15,000 -15,000 Bal -4,500 34,500 2,500 3,400 -55,000 -33,000 -16,000 -4,800 32,600 50,000 -15,000 144,500 Instructions 1. Prepare an income statement for the month ended July 31, 2019. 2. Prepare a statement of owner's equity for the month ended July 31, 2019. 3. Prepare a balance sheet as of July 31, 2019 4. (Optional) Prepare a statement of cash flows for the month ending July 31, 2019

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Seth Feye established Reliance Financial Services on July 1, 2019. Reliance Financial Services offers financial planning advice to its clients. The effect of each transaction and the balances after each transaction for July follow:

=Liabilities +
Assets
Owner's Equity
Seth
Feye,
Payable Capital -Drawing Earned
Seth
Salaries
Supplies
Accounts
Accounts
Feye,
Fees
Rent
Auto
Misc
Receivable +Supplies
Expense Expense
Cash
Expense Expense
Expense
+50,000
+50,000
а.
b.
+7,000
+7,000
Bal
50,000
7,000
7,000
50,000
3,600
3,600
C.
Bal
7,000
3,400
46,400
50,000
d.
110,000
Bal
+110,000
7,000
156,400
3,400
50,000
110,000
33,000
-33,000
е.
Bal
123,400
50,000
110,000
-33,000
7,000
3,400
f.
-16,000
-4,800
-20,800
Bal.
7,000
3,400
-33,000
-4,800
102,600
50,000
110,000
-16,000
-55,000
-55,000
g.
Bal.
7,000
50,000
47,600
3,400
110,000
-55,000
33,000
-16,000
-4,800
h.
-4,500
-4,500
Bal
47,600
2,500
3,400
50,000
110,000
-55,000
33,000
-16,000
-4,500
-4,800
34,500
i.
+34,500
Bal.
50,000
47,600
34,500
2,500
3,400
144,500
-55,000
-33,000
-16,000
-4,500
-4,800
j.
-15,000
-15,000
Bal
-4,500
34,500
2,500
3,400
-55,000
-33,000
-16,000
-4,800
32,600
50,000 -15,000
144,500
Instructions
1. Prepare an income statement for the month ended July 31, 2019.
2. Prepare a statement of owner's equity for the month ended July 31, 2019.
3. Prepare a balance sheet as of July 31, 2019
4. (Optional) Prepare a statement of cash flows for the month ending July 31, 2019
Transcribed Image Text:=Liabilities + Assets Owner's Equity Seth Feye, Payable Capital -Drawing Earned Seth Salaries Supplies Accounts Accounts Feye, Fees Rent Auto Misc Receivable +Supplies Expense Expense Cash Expense Expense Expense +50,000 +50,000 а. b. +7,000 +7,000 Bal 50,000 7,000 7,000 50,000 3,600 3,600 C. Bal 7,000 3,400 46,400 50,000 d. 110,000 Bal +110,000 7,000 156,400 3,400 50,000 110,000 33,000 -33,000 е. Bal 123,400 50,000 110,000 -33,000 7,000 3,400 f. -16,000 -4,800 -20,800 Bal. 7,000 3,400 -33,000 -4,800 102,600 50,000 110,000 -16,000 -55,000 -55,000 g. Bal. 7,000 50,000 47,600 3,400 110,000 -55,000 33,000 -16,000 -4,800 h. -4,500 -4,500 Bal 47,600 2,500 3,400 50,000 110,000 -55,000 33,000 -16,000 -4,500 -4,800 34,500 i. +34,500 Bal. 50,000 47,600 34,500 2,500 3,400 144,500 -55,000 -33,000 -16,000 -4,500 -4,800 j. -15,000 -15,000 Bal -4,500 34,500 2,500 3,400 -55,000 -33,000 -16,000 -4,800 32,600 50,000 -15,000 144,500 Instructions 1. Prepare an income statement for the month ended July 31, 2019. 2. Prepare a statement of owner's equity for the month ended July 31, 2019. 3. Prepare a balance sheet as of July 31, 2019 4. (Optional) Prepare a statement of cash flows for the month ending July 31, 2019
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