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Course Content $/$ FA $-$ Chapter $2/$ FA Chapter $2$ Homework

FA Chapter $2$ Homework

Determine the financial effect on the balance sheet and income statement for each of the following independent events using the Transaction Analysis Template.

a$.$ Purchased inventory on account, $$10,000.$

b$.$ Rendered services to clients on account, $$12,000.$

c$.$ Paid wages for the week, $$1,600.$

d$.$ Collected $$8,000$ from clients on account.

Notes:

Use negative signs with answers, when appropriate.

If a transaction increases and decreases the same Balance Sheet category, enter the increase amount in the first row, followed by the decrease amount in the row directly belowTransaction Analysis Template Determine the financial effect on the balance sheet and income statement for each of the following independent events using the Transaction Analysis Template. a$.$ Paid $\backslash (\backslash$$ $3,000\backslash )$ for six months rent, in advance. b$.$ Borrowed $\backslash (\backslash$$ $37,500\backslash )$ from a bank. c$.$ Received an invoice for utilities used during the current month, $\backslash (\backslash$$ $600\backslash ).$ d$.$ Paid dividends to stockholders, $\backslash (\backslash$$ $18,750\backslash ).$ Instructions Use negative signs with answers, when appropriate. If a transaction increases and decreases the same Balance Sheet category, enter the increase amount in the first row, followed by the decrease amount in the row directly below.