College Accounting, Chapters 1-27
23rd Edition
ISBN: 9781337794756
Author: HEINTZ, James A.
Publisher: Cengage Learning,
expand_more
expand_more
format_list_bulleted
Concept explainers
Videos
Textbook Question
Chapter 6, Problem 1CE
Joe Fisher operates Fisher Consulting. A partial work sheet for August 20-- is provided below. Fisher made no additional investments during the month. Prepare an income statement, statement of owner’s equity, and
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solution
Students have asked these similar questions
Victoria Rivera owns and manages a consulting firm called Prisek, which began operations on July 1. On July 31, the company’s records show the following selected accounts and amounts for the month of July. Prepare a July statement of owner’s equity. The owner’s capital account balance at July 1 was $0, and the owner invested $34,800 cash in the company on July 2. Prepare a July 31 balance sheet.
At the end of August, the first month of operations, the following selected data were taken from the financial statements of Tucker Jacobs, an attorney: Net income for August $180,900 Total assets at August 31 999,000 Total liabilities at August 31 330,000 Total owner’s equity at August 31 669,000 In preparing the financial statements, adjustments for the following data were overlooked: Unbilled fees earned at August 31, $9,970. Depreciation of equipment for August, $4,500. Accrued wages at August 31, $3,190. Supplies used during August, $2,790. Required: Question Content Area 1. Journalize the entries to
Angela Lopez owns and manages a consulting firm called Metrix, which began operations on March 1. On March 31, Metrix shows the following selected accounts and amounts for the month of March. Prepare a March statement of owner’s equity. The owner’s capital account balance at March 1 was $0, and the owner invested $11,600 cash in the company on March 2.
Chapter 6 Solutions
College Accounting, Chapters 1-27
Ch. 6 - Expenses are listed on the income statement as...Ch. 6 - Additional investments of capital during the month...Ch. 6 - Prob. 3TFCh. 6 - Prob. 4TFCh. 6 - Temporary accounts are closed at the end of each...Ch. 6 - Multiple choice Which of these types of accounts...Ch. 6 - Which of these accounts is considered a temporary...Ch. 6 - Which of these is the first step in the closing...Ch. 6 - The ________ is prepared after closing entries are...Ch. 6 - Steps that begin with analyzing source documents...
Ch. 6 - Joe Fisher operates Fisher Consulting. A partial...Ch. 6 - Prob. 2CECh. 6 - Prob. 3CECh. 6 - Identify the source of the information needed to...Ch. 6 - Describe two approaches to listing the expenses in...Ch. 6 - Prob. 3RQCh. 6 - If additional investments were made during the...Ch. 6 - Identify the sources of the information needed to...Ch. 6 - What is a permanent account? On which financial...Ch. 6 - Prob. 7RQCh. 6 - Prob. 8RQCh. 6 - Prob. 9RQCh. 6 - Prob. 10RQCh. 6 - List the 10 steps in the accounting cycle.Ch. 6 - Prob. 1SEACh. 6 - STATEMENT OF OWNERS EQUITY From the partial work...Ch. 6 - BALANCE SHEET From the statement of owners equity...Ch. 6 - CLOSING ENTRIES (NET INCOME) Set up T accounts for...Ch. 6 - CLOSING ENTRIES (NET INCOME) Using the following...Ch. 6 - CLOSING ENTRIES (NET LOSS) Using the following...Ch. 6 - FINANCIAL STATEMENTS Page 206 shows a work sheet...Ch. 6 - PROBLEM 6-7A CLOSING ENTRIES AND POST-CLOSING...Ch. 6 - STATEMENT OF OWNERS EQUITY The capital account for...Ch. 6 - INCOME STATEMENT From the partial work sheet for...Ch. 6 - STATEMENT OF OWNERS EQUITY From the partial work...Ch. 6 - BALANCE SHEET From the statement of owners equity...Ch. 6 - CLOSING ENTRIES (NET INCOME) Set up T accounts for...Ch. 6 - CLOSING ENTRIES (NET INCOME) Using the following...Ch. 6 - CLOSING ENTRIES (NET LOSS) Using the following...Ch. 6 - FINANCIAL STATEMENTS A work sheet for Juanitas...Ch. 6 - PROBLEM 6-7B CLOSING ENTRIES AND POST-CLOSING...Ch. 6 - STATEMENT OF OWNERS EQUITY The capital account for...Ch. 6 - MASTERY PROBLEM Elizabeth Soltis owns and operates...Ch. 6 - CHALLENGE PROBLEM This problem challenges you to...
Knowledge Booster
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
- Here are facts for the Hudson Roofing Company for December. Assuming no investments or withdrawals, what is the ending balance in the owners capital account?arrow_forwardAt the end of August, the first month of operations, the following selected data were taken from the financial statements of Tucker Jacobs, an attorney: In preparing the financial statements, adjustments for the following data were overlooked: Unbilled fees earned at August 31, 31,900. Depreciation of equipment for August, 7,500. Accrued wages at August 31, 5,200. Supplies used during August, 3,000. Instructions 1. Journalize the entries to record the omitted adjustments. 2. Determine the correct amount of net income for August and the total assets, liabilities, and owners equity at August 31. In addition to indicating the corrected amounts, indicate the effect of each omitted adjustment by setting up and completing a columnar table similar to the following. The first adjustment is presented as an example.arrow_forwardFINANCIAL STATEMENTS A work sheet for Juanitas Consulting is shown on the following page. There were no additional investments made by the owner during the month. REQUIRED 1. Prepare an income statement. 2. Prepare a statement of owners equity. 3. Prepare a balance sheet.arrow_forward
- liu zhang operates lawson consulting, which began operations on june 1. on june 30, the company's records show the following accounts and amounts for the month of june cash $11,000 service revenue $15,600 accounts receivable $5,700 equipment $7,700 accounts payable $4,700 rent expense $3,200 L. Zhang withdrawals $2,700 wages expense $8,000 Use the above information to prepare a June 30 balance sheet for Lawson Consulting. Hint: Compute the owner's capital account balance as of June 30 LAWSON CONSULTING Balance Sheet As of June 30 Assets: Liabilities: Cash $11,000 Accounts payable $4,700 Accounts receivable 5,700 Equipment 7,700 Equity: L. Zhang, Capital Total Assets $24,400 $4,700arrow_forwardDuring March, the activities of Evergreen Landscaping included the following transactions and events, among others. Which of these items represented expenses in March? Explain.a. Purchased a copying machine for $2,750 cash.b. Paid $192 for gasoline purchase for a delivery truck during March.c. Paid $2,280 salary to an employee for time worked during March.d. Paid an attorney $560 for legal services rendered in January.e. Declared and paid a $1,800 dividend to shareholders.arrow_forwardFinders Investigative Services is an investigative services firm that is owned and operated by Stacy Tanner. On June 30, 2019, the end of the fiscal year, the accountant for Finders Investigative Services prepared an end-of-period spreadsheet, a part of which follows:Instructions 1. Prepare an income statement, a statement of owner’s equity (no additional investments were made during the year), and a balance sheet. 2. Journalize the entries that were required to close the accounts at June 30. 3. If Stacy Tanner, Capital has instead decreased $30,000 after the closing entries were posted, and the withdrawals remained the same, what would have been the amount of net income or net loss?arrow_forward
- liu zhang operates lawson consulting, which began operations on june 1. on june 30, the company's records show the following accounts and amounts for the month of june cash $11,000 service revenue $15,600 accounts receivable $5,700 equipment $7,700 accounts payable $4,700 rent expense $3,200 L. Zhang withdrawals $2,700 wages expense $8,000 Use the above information to prepare a June statement of owner's equity for Lawson Consulting. The owner's capital balance at May 31 was $0, and the owner invested $18,000 cash in the company on June 1 LAWSON CONSULTING Statement of Owner’s Equity For Month Ended June 30 L. Zhang, Capital, May 31 $0 Add: Investment by owner 18,000 Add: Net income 18,000 Less: Withdrawals by owner 2,700 L. Zhang, Capital, June 30 $15,300arrow_forwardThe Gorman Group is a financial planning services firm owned and operated by Nicole Gorman. As of October 31, 2019, the end of the fiscal year, the accountant for The Gorman Group prepared an end-of-period spreadsheet, part of which follows: Instructions1. Prepare an income statement, a statement of owner’s equity (no additional investments were made during the year), and a balance sheet.2. Journalize the entries that were required to close the accounts at October 31.3. If the balance of Nicole Gorman, Capital had instead increased $115,000 after the closing entries were posted and the withdrawals remained the same, what would have been the amount of net income or net loss?arrow_forwardOn April 1 of the current year, Morgan Jones established a business to manage rental property. She completed the following transactions during April: Opened a business bank account with a deposit of $43,000 in exchange for common stock. Purchased office supplies on account, $3,250. Received cash from fees earned for managing rental property, $8,880. Paid rent on office and equipment for the month, $3,980. Paid creditors on account, $1,470. Billed customers for fees earned for managing rental property, $7,370. Paid automobile expenses for month, $880, and miscellaneous expenses, $440. Paid office salaries, $2,800. Determined that the cost of supplies on hand was $1,920; therefore, the cost of supplies used was $1,330. Paid dividends, $2,650. Required: 1. Indicate the effect of each transaction and the balances after each transaction:For those boxes in which no entry is required, leave the box blank.For those boxes in which you must enter subtractive or negative numbers use a minus…arrow_forward
- For the past several years, Steffy Lopez has operated a part-time consulting business from his home. As of July 1, 20Y2, Steffy decided to move to rented quarters and to operate the business, which was to be known as Diamond Consulting, on a full-time basis. Diamond entered into the following transactions during July: 1. Journalize each transaction in a two-column journal starting on Page 1, referring to the chart of accounts in selecting the accounts to be debited and credited. (Do not insert the account numbers in the journal at this time.) 2. Post the journal to a ledger of four-column accounts. Add the appropriate posting reference to the journal. 6. b. Post the adjusting entries, inserting balances in the accounts affected. 9. b. Post the closing entries, inserting balances in the accounts affected. Leave the ITEM column BLANK for each row. If the account balance is zero (0) after closing entries are posted, enter a zero (0) in the account's normal balance column. 3.…arrow_forwardAt the end of April, the first month of operations, the following selected data were taken from the financial statements of Shelby Crawford, an attorney: In preparing the financial statements, adjustments for the following data were overlooked: Supplies used during April, 2,750. Unbilled fees earned at April 30, 23,700. Depreciation of equipment for April, 1,800. Accrued wages at April 30, 1,400. Instructions 1. Journalize the entries to record the omitted adjustments. 2. Determine the correct amount of net income for April and the total assets, liabilities, and owners equity at April 30. In addition to indicating the corrected amounts, indicate the effect of each omitted adjustment by setting up and completing a columnar table similar to the following. The adjustment for supplies used is presented as an example.arrow_forwardFINANCIAL STATEMENTS Page 206 shows a work sheet for Megaffins Repairs. No additional investments were made by the owner during the month. REQUIRED 1. Prepare an income statement. 2. Prepare a statement of owners equity. 3. Prepare a balance sheet.arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
College Accounting, Chapters 1-27AccountingISBN:9781337794756Author:HEINTZ, James A.Publisher:Cengage Learning,
Principles of Accounting Volume 1AccountingISBN:9781947172685Author:OpenStaxPublisher:OpenStax CollegeCentury 21 Accounting Multicolumn JournalAccountingISBN:9781337679503Author:GilbertsonPublisher:Cengage
Financial AccountingAccountingISBN:9781337272124Author:Carl Warren, James M. Reeve, Jonathan DuchacPublisher:Cengage Learning
Financial AccountingAccountingISBN:9781305088436Author:Carl Warren, Jim Reeve, Jonathan DuchacPublisher:Cengage Learning
College Accounting, Chapters 1-27
Accounting
ISBN:9781337794756
Author:HEINTZ, James A.
Publisher:Cengage Learning,
Principles of Accounting Volume 1
Accounting
ISBN:9781947172685
Author:OpenStax
Publisher:OpenStax College
Century 21 Accounting Multicolumn Journal
Accounting
ISBN:9781337679503
Author:Gilbertson
Publisher:Cengage
Financial Accounting
Accounting
ISBN:9781337272124
Author:Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:Cengage Learning
Financial Accounting
Accounting
ISBN:9781305088436
Author:Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:Cengage Learning
The accounting cycle; Author: Alanis Business academy;https://www.youtube.com/watch?v=XTspj8CtzPk;License: Standard YouTube License, CC-BY