Carter Wilson is a painting contractor who specializes in painting commercial buildings. At the beginning of June, his firm’s financial records showed the following assets, liabilities, and owner’s equity.

INSTRUCTIONS
Set up an accounting equation using the balances given above. Record the effects of the following transactions in the equation. (Use plus, minus, and equals signs.) Record new balances after each transaction has been entered. Prove the equality of the two sides of the final equation on a separate sheet of paper.

TRANSACTIONS
1. Performed services for $14,400 on credit.
2. Paid $3,640 in cash for new office chairs.
3. Received $27,600 in cash from credit clients.
4. Paid $1,820 in cash for telephone service.
5. Sent a check for $10,400 in partial payment of the amount due creditors.
6. Paid salaries of $21,160 in cash.
7. Sent a check for $2,570 to pay electric bill.
8. Performed services for $25,800 in cash.
9. Paid $5,320 in cash for auto repairs.
10. Performed services for $27,600 on account.
Analyze:

What is the amount of total assets after all transactions have been recorded?

Transcribed Image Text:

Cash Accounts Receivable Office Furniture Auto $144,000 37,000 85,000 55,000 Accounts Payable Carter Wilson, Capital Revenue Expenses 30,600 214,500 131,600 55,700