Accounting Equation: ASSETS = LIABILITIES + EQUITY Transaction# Delivery Accounts Accounts Notes Common - -
Question:
Accounting Equation:
ASSETS LIABILITIES EQUITY
Transaction# Delivery Accounts Accounts Notes Common Retained Earnings
Cash Van Receivable Supplies Payable Payable Stock Account
TOTALS $ $ $ $ $ $ $ $
Total Assets $ Total Liabilities $ Total Equity $
REQUIRED:
A account for the following transactions using the Accounting Equation above use row for each transaction NOTE: you can also use JOURNAL ENTRIES, rather than the Accounting Equation, if you like
B After completing A above, prepare an Income Statement and a Classified Balance Sheet for the month of September, for Strand Corp
Transactions:
Strand invested $ in the business in exchange for common stock
Strand purchased a delivery van costing $ by paying as a downpayment, and borrowing the remainder from the bank
Strand sold $ worth of consulting services, on account, the remainder for cash
Strand paid Wages of $ and Rent of $ and Utilities of $
Strand purchased $ of supplies on account
Strand collected $ from customers sold to on account # above
Strand paid the bank of what they owed them
PART B:
Make your own Journal Entries debits & credits for the following typical type of adjustments to accounts use your own numbers:
adjust a co's Prepaid Insurance account at yearend
recognize an Accrued Liability and corresponding Expense at yearend
recognize Depreciation Exp at yearend
adjust a co's Unearned Revenue account at yearend
Note: include explanations with your adjusting entries
Interpreting and Analyzing Financial Statements
ISBN: 978-0132746243
6th edition
Authors: Karen P. Schoenebeck, Mark P. Holtzman