Assignment I

James Sousa decided to open his own real estate office called Sousa Realty.

1. Analyze the following transactions James completed by recording their effects in the expanded accounting equation in template

2. Analyze the following transactions James completed by recording their effects in the T provided in template Include the totals for each account.

9/1: Invested $12,000 cash in his real estate agency along with office equipment valued at $5,000.

9/1: Bought an automobile on account from Hyundai North, $19,000.

9/3: Sold a house to Earl Kelce and earned $5,000 commission to be paid later (on account).

9/5: Purchased office supplies from Paper Company on account, $850.

9/10: Paid Comcast September telephone bill, $330.

9/15: James Sousa withdrew cash for personal use, $4,000.

9/21: Sold a house to Sandy Holloway and collected a $7,000 commission in cash

9/25: Received $2,500 as partial payment from Earl Kelce for 9/3 commission.

9/27: Paid Paper Company $600 in partial payment for 9/5 purchase

9/30: Paid secretarys salary, $800.

9/30: Received advertising bill, $900, from the Chicago Times. The bill is to be paid on 10/20

Realty

Accounts

Office

Accounts

Sousa

Sousa

Commisions

Cash

+

Receivable

+

Supplies

+

Equipment

+

Automobile

=

Payable

+

Capital

-

W/D

+

Earned

-

Expenses

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ENDING BALANCE