C3

Sye Chase started and operated a small family architectural firm in Year 1. The firm was affected by two events: (1) Chase provided $18,200 of services on account, and (2) he purchased $5,200 of supplies on account. There were $900 of supplies on hand as of December 31, Year 1. Required a. b. & e. Record the two transactions in the accounts. Record two separate entries for the closing entries. Record the required year- end adjusting entry to reflect the use of supplies and the required closing entries. Post the entries in the T-accounts and prepare a post-closing trial balance. Complete this question by entering your answers in the tabs below. Required a Required B Required E Record the two transactions in the following T-accounts. Record two separate entries for the closing entries. Accounts Recevable Supplies Beg Bal 1 Beg Bal. 18,200 End. Bol 18,200 End. Bal. Accounts Payable Retained Earnings Beg Bal Beg Bat End, Bal End. Bal 0 Service Revenue Supplies Exponta Ran R Sye Chase started and operated a small family architectural firm in Year 1. The firm was affected by two events: (1) Chase provided $18,200 of services on account, and (2) he purchased $5,200 of supplies on account. There were $900 of supplies on hand as of December 31, Year 1. c. Show the above transactions in a horizontal statements model (Enter any decreases to account balances and cash outflows with a minus sign. In the Statement of Cash Flows column, use the initials OA to designate operating activity, IA for investing activity, FA for financing activity and NC for net change in cash. Not all cells require input.) CHASE ARCHITECTURAL SERVICES Effect of Transactions on the Financial Statements for Year 1 Balance sheet Income Statement Liabilities Stockholders' Equity Account Common Retained Payabla Stock Revenue Expense - Net Income Larings No. Assets Account Recevable Supplies statement of Cash Flows . 1. 2 Adi Bal . Sye Chase started and operated a small family architectural firm in Year 1. The firm was affected by two events: (1) Chase provided $18,200 of services on account, and (2) he purchased $5,200 of supplies on account. There were $900 of supplies on hand as of December 31, Year 1. d. Explain why the amounts of net income and net cash flow from operating activities differ. Noncomale Net Cash Flow from Operating Activities is of revenue was enmad on point, but not was collected supplies were used, but none were paid for