Financial Accounting Intro Concepts Meth/Uses
14th Edition
ISBN: 9781285595047
Author: Weil
Publisher: Cengage
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The trial balance of Dunn Service Center, Inc., on March 1, 2018, lists the entity’s assets, liabilities, and stockholders’ equity on that date.Account Title Debit CreditCash.......................................Accounts receivable................Accounts payable ...................Common stock.......................Retained earnings...................Total ......................................$26,0004,500$30,500$ 2,00010,00018,500$30,500BalanceDuring March, the business completed the following transactions:a. Borrowed $45,000 from the bank, with Dunn signing a note payable in the name of thebusiness.b. Paid cash of $40,000 to a real estate company to acquire land.c. Performed a service for a customer and received cash of $5,000.d. Purchased supplies on credit, $300.e. Performed a service for a customer and earned $2,600 of revenue on account.f. Paid $1,200 on account.g. Paid the following cash expenses: salaries, $3,000; rent, $1,500; and interest, $400.h. Received $3,100 on…
Samantha Company had the following account balances at the end of May of the current year: Cash P48,500; Trading Securities P32,800; Receivables P72,300; Inventories P37,490; Machinery & Equipment P678,100; Furniture & Fixtures P100,640; Prepayments P85,280; Building P700,200; Patents P76,460; Trademark P56,790; Accounts Payable P276,420; Unearned Revenues P54,750; Bonds Payable P290,000; Mortgage Payable P12,370; Accrued Expenses P7,890; Interest Income P32,000; Service Revenue P765,340. Compute for the capital
2 During 2018, Harper Corp. entered into the following transactions.
Borrowed $60,000 by issuing a note.
Paid $8,000 cash dividend to stockholders.
Received $13,000 cash from a previously billed customer for services performed.
Purchased supplies on account for $3,500.
Using the tabular analysis shown on the next page, show the effect of each transaction on the account ing equation. Put explanations for changes to revenues or expenses in the right-hand margin. For retained earnings, use separate columns for revenues, expenses, and dividends if necessary.
Assets
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Liabilities
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Stockholders' Equity
Cash
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Accounts Receivable
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Supplies
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Accounts Payable
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Bonds Payable
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Common Stock
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Retained Earnings
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