An analysis of the transactions made by Farson Co for the month of May are shown...

 

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An analysis of the transactions made by Farson Co for the month of May are shown below. The retained earnings transactions include the type of transaction. Farson Co. ASSETS LIABILITIES + STOCKHOLDERS' EQUITY Paid-in Retained Capital Earnings Accounts Ассounts Common Retained Trans Cash + Receivable + Supplies + Equipment Payable Stock Earnings Type Tran 1. +15,000 +15,000 1. Bal 15,000 + 0 + 15,000 + Bal 2. Bal 2. +5,000 +3,000 -2,000 13,000 + Bal 0 + 0 + 5,000 3,000 + 15,000 + 3. -750 +750 3. Bal 12,250 + 0 + 750 + 5,000 3,000 + 15,000 + Bal 4. Bal 4. +9,400 Revenue +4,900 17,150 + +4,500 4,500 + Bal 750 + 5,000 = 3,000 + 15,000 + 9,400 -1,500 1,500 + 5. 5. -1,500 15,650 + Bal 4,500 + 750 + 5,000 15,000 + Bal 9,400 -2,000 Dividends 6. Bal 6. -2,000 13,650 + Bal 4,500 + 750 + 5,000 1,500 + 15,000 + 7,400 -850 Rent Expense 6,550 7. -850 7. Bal Bal 12,800 + +450 4,500 + 750 + 5,000 1,500 + 15,000 + 8. Bal 8. -450 Bal 13,250 + 4,050 + 750 + 5,000 = 1,500 + 15,000 + 6,550 -3,900 Salaries Expense 9. Bal -500 Utilities Expense 10. Bal 9. -3,900 Bal 9,350 + 4,050 + 750 + 5,000 1,500 + 15,000 + 2,650 10. +500 Bal 9,350 + 4,050 + 750 + 5,000 = 2,000 + 15,000 + 2,150 Instructions Provide a description of each business transaction that occurred for the month. a. 1. 3. 4. 5. 7. 8. 9. 10. b. Determine the net income for the month. 2. 6. An analysis of the transactions made by Farson Co for the month of May are shown below. The retained earnings transactions include the type of transaction. Farson Co. ASSETS LIABILITIES + STOCKHOLDERS' EQUITY Paid-in Retained Capital Earnings Accounts Ассounts Common Retained Trans Cash + Receivable + Supplies + Equipment Payable Stock Earnings Type Tran 1. +15,000 +15,000 1. Bal 15,000 + 0 + 15,000 + Bal 2. Bal 2. +5,000 +3,000 -2,000 13,000 + Bal 0 + 0 + 5,000 3,000 + 15,000 + 3. -750 +750 3. Bal 12,250 + 0 + 750 + 5,000 3,000 + 15,000 + Bal 4. Bal 4. +9,400 Revenue +4,900 17,150 + +4,500 4,500 + Bal 750 + 5,000 = 3,000 + 15,000 + 9,400 -1,500 1,500 + 5. 5. -1,500 15,650 + Bal 4,500 + 750 + 5,000 15,000 + Bal 9,400 -2,000 Dividends 6. Bal 6. -2,000 13,650 + Bal 4,500 + 750 + 5,000 1,500 + 15,000 + 7,400 -850 Rent Expense 6,550 7. -850 7. Bal Bal 12,800 + +450 4,500 + 750 + 5,000 1,500 + 15,000 + 8. Bal 8. -450 Bal 13,250 + 4,050 + 750 + 5,000 = 1,500 + 15,000 + 6,550 -3,900 Salaries Expense 9. Bal -500 Utilities Expense 10. Bal 9. -3,900 Bal 9,350 + 4,050 + 750 + 5,000 1,500 + 15,000 + 2,650 10. +500 Bal 9,350 + 4,050 + 750 + 5,000 = 2,000 + 15,000 + 2,150 Instructions Provide a description of each business transaction that occurred for the month. a. 1. 3. 4. 5. 7. 8. 9. 10. b. Determine the net income for the month. 2. 6.

Answer rating: 100% (QA)

A Descriptions from the above transactions 1 Issued common stock for ... View the full answer