Dr. Kristine Cohen opened a medical practice specializing in physical therapy. During the first month of operation (July), the business, titled Dr. Kristine Cohen, Professional Corporation (PC), experienced the following events:

Requirements
1. Analyze the effects of these events on the accounting equation of the medical practice of Dr. Kristine Cohen, PC.
2. After completing the analysis, answer these questions about the business.
a. How much are total assets?
b. How much does the business expect to collect from patients?
c. How much does the business owe in total?
d. How much of the business's assets does Cohen really own?
e. How much net income or net loss did the business experience during its first month of operations?

Transcribed Image Text:

A1 Yellowberry, Inc. Trial Balance December 31, 2016 Balance Debit Cre 3Account Title 4 Cash 5 Accounts receivable 6 Supplies 7Land 8 Equipment 9 Accounts payable 10 Note payable 11 Common stock 12 Retained earnings 13 Service revenue 14 Salary expense 15 Rent expense 16 Utilities expense 17 Total 18 Credit Is 4,000 14,000 1,000 | 48,000 27,000 26,000 13.,000 2000 31,600 29,000 9,000