Analyzing Transactions Using the Financial Statement Effects Template Hanlon Advertising Company began the current month with...

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Analyzing Transactions Using the Financial Statement Effects Template Hanlon Advertising Company began the current month with the following balance sheet. Cash $ 80,000 Noncash assets 135,000 Liabilities $70,000 Contributed capital 110,000 Earned capital 35,000 Total assets $215,000 Total liabilities and equity $215,000 Following are summary transactions that occurred during the current month. 1. The company purchased supplies for $5,000 cash; none were used this month. 2. Services of $2,500 were performed this month on credit. 3. Services were performed for $10,000 cash this month. 4. The company purchased advertising for $8,000 cash; the ads will run next month. 5. The company received $1,200 cash as partial payment on accounts receivable from transaction 2. 6. The company paid $3,400 cash toward the accounts payable from the prior month. 7. Paid $3,100 cash toward this month's wages expenses. 8. The company declared and paid dividends of $500 cash. (a) Record the effects of each transaction using the financial statement effects template. Use negative signs with your answers, when appropriate. Balance Sheet Transaction Cash Asset + Noncash Assets = Liabilities Contributed Capital Earned + Capital Revenue Beginning bal. 1 2 3 4 5 6 7 8 Ending balance Income Statement Expenses Net Income (b) Prepare the income statement for this month and the balance sheet as of month-end. Do not use negative signs with any of your answers below. Hanlon Advertising Company Income Statement Sales revenue $ Total expenses Net income $ Hanlon Advertising Company Retained Earnings Reconciliation Retained earnings. beginning of month $ Net income Dividends Retained earnings. end of month Cash Noncash assets Total assets $ $ $ Hanlon Advertising Company Balance Sheet Liabilities Contributed capital Retained earnings Total equity $ Total liabilities and equity $ Analyzing Transactions Using the Financial Statement Effects Template Hanlon Advertising Company began the current month with the following balance sheet. Cash $ 80,000 Noncash assets 135,000 Liabilities $70,000 Contributed capital 110,000 Earned capital 35,000 Total assets $215,000 Total liabilities and equity $215,000 Following are summary transactions that occurred during the current month. 1. The company purchased supplies for $5,000 cash; none were used this month. 2. Services of $2,500 were performed this month on credit. 3. Services were performed for $10,000 cash this month. 4. The company purchased advertising for $8,000 cash; the ads will run next month. 5. The company received $1,200 cash as partial payment on accounts receivable from transaction 2. 6. The company paid $3,400 cash toward the accounts payable from the prior month. 7. Paid $3,100 cash toward this month's wages expenses. 8. The company declared and paid dividends of $500 cash. (a) Record the effects of each transaction using the financial statement effects template. Use negative signs with your answers, when appropriate. Balance Sheet Transaction Cash Asset + Noncash Assets = Liabilities Contributed Capital Earned + Capital Revenue Beginning bal. 1 2 3 4 5 6 7 8 Ending balance Income Statement Expenses Net Income (b) Prepare the income statement for this month and the balance sheet as of month-end. Do not use negative signs with any of your answers below. Hanlon Advertising Company Income Statement Sales revenue $ Total expenses Net income $ Hanlon Advertising Company Retained Earnings Reconciliation Retained earnings. beginning of month $ Net income Dividends Retained earnings. end of month Cash Noncash assets Total assets $ $ $ Hanlon Advertising Company Balance Sheet Liabilities Contributed capital Retained earnings Total equity $ Total liabilities and equity $