Jan. 2 23916938 11 20 Invested $10,000 cash in the business in exchange for common stock....
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Jan. 2 23916938 11 20 Invested $10,000 cash in the business in exchange for common stock. Purchased used car for $4,000 cash for use in the business. Purchased supplies on account for $500. Billed customers $1,800 for services performed. Paid $200 cash for advertising. Received $700 cash from customers billed on January 11. Paid creditor $300 cash on balance owed. and paid a $1,000 cash dividend. Declared Instructions For each transaction indicate the following. (a) The basic type of account debited and credited (asset, liability, stockholders' equity). (b) The specific account debited and credited (cash, rent expense, service revenue, etc.). (c) Whether the specific account is increased or decreased. (d) The normal balance of the specific account. Use the following format, in which the January 2 transaction is given as an example. I Account Credited Account Debited (c) (a) (b) Basic Specific Date Type Account Effect Jan. 2 Asset Cash Increase Debit (d) Normal Balance (a) Basic Type Stockholders Equity (c) (b) Specific Account Effect Common Increase Stock (d) Normal Balance Credit Jan. 2 23916938 11 20 Invested $10,000 cash in the business in exchange for common stock. Purchased used car for $4,000 cash for use in the business. Purchased supplies on account for $500. Billed customers $1,800 for services performed. Paid $200 cash for advertising. Received $700 cash from customers billed on January 11. Paid creditor $300 cash on balance owed. and paid a $1,000 cash dividend. Declared Instructions For each transaction indicate the following. (a) The basic type of account debited and credited (asset, liability, stockholders' equity). (b) The specific account debited and credited (cash, rent expense, service revenue, etc.). (c) Whether the specific account is increased or decreased. (d) The normal balance of the specific account. Use the following format, in which the January 2 transaction is given as an example. I Account Credited Account Debited (c) (a) (b) Basic Specific Date Type Account Effect Jan. 2 Asset Cash Increase Debit (d) Normal Balance (a) Basic Type Stockholders Equity (c) (b) Specific Account Effect Common Increase Stock (d) Normal Balance Credit
Expert Answer:
Answer rating: 100% (QA)
Question DR Cash 10000 CR Common Stock 10000 DR Vehicles Fixed Assets 4000 CR Cash 4000 DR Supplies ... View the full answer
Related Book For
Financial Accounting
ISBN: 978-1118334324
9th edition
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso
Posted Date:
Students also viewed these accounting questions
-
1. Stockholders invested $40,000 in the business in exchange for common stock of the company 2. Purchased computers for office use for $30,000 from Ladd on account. 3. Paid $4,000 cash for May rent...
-
Mar 1 Donald invested $72,000 cash in the business for 5,000 common shares. The business paid $,000 for the first months rent on the building. This amount is not refundable if the business does not...
-
S. Myra invested $7,500 cash in the business during year 2009 (the December 31, 2008, credit balance of the S. Myra, Capital account was $125,000). Myra Company is required to make a $6,000 payment...
-
Ruby works in the treasury department of a large airline company. Over the coming months the airline company expects to increase flights as countries continue to ease travel restrictions. Ruby and...
-
How would (a) a decrease in the interest rate or (b) an increase in the holding period of a deposit affect its future value? Why?
-
Determine if the alternating series converges or diverges. Some of the series do not satisfy the conditions of the Alternating Series Test. (-1)+1 n=1 2 n
-
How might AI change a lower-level managers job differently than a top managers job by 2030?
-
Hugo Reyes Company had the following account balances at year-end: Cost of Goods Sold $60,000; Inventory $15,000; Operating Expenses $29,000; Sales Revenue $115,000; Sales Discounts $1,200; and Sales...
-
Jack Sparrow started his own legal agency, Sparrow Limited, on March 1, 2023. The following transactions occurred during the month of March: Jack invested $8,000 cash and equipment worth of $11,000...
-
Of the following items of property, plant, and equipment, which one must be tested for impairment under IFRS? A A commercial building was purchased last year and there have been no comparable...
-
! Required information [The following information applies to the questions displayed below.] Marc and Mikkel are married and earned salaries this year of $66,100 and $24,600, respectively. In...
-
ABCLimited ("ABC") is a bigcompany listed on USstock market. Ithas been evaluating an investment proposal to manufacture Product XKX. Below showsthe investment proposal information for evaluation....
-
A bakery can sell 800 cupcakes if priced at $3.00 each, or 1,000 cupcakes if priced at $2.50 each.It would be profitable for the bakery to charge a price of $2.50 only if the marginal cost of...
-
The investor plans to invest 2000 UAH and chooses between two investment options: one-year bond that pays 12% upon maturity ( one-year bond with payment of 5% after redemption ) or a high-yield money...
-
In the context where protein serves the primary purpose of fostering growth and tissue development instead of being predominantly utilized for energy, which term accurately describes this phenomenon:...
-
Arbitrary Inc has a fixed asset threshold of $2,500 per item. They purchase 5 computers for $10,000. How should that purchase be treated?
-
Esmeralda Company's annual material requirement used in a production is 144,000 units. This material costs P200 per unit from a supplier and it requires 5 days lead time from date of order to date of...
-
Consider the setup in Problem 16. Show that the relative speed of the ball and the point of contact on the stick is the same before and immediately after the collision. (This result is analogous to...
-
Tabares Corporation had these transactions during 2015. (a) Issued $50,000 par value common stock for cash. (b) Purchased a machine for $30,000, giving a long-term note in exchange. (c) Issued...
-
At December 31, 2015, Torrealba Company reported the following as plant assets. During 2016, the following selected cash transactions occurred. April 1 Purchased land for $1,200,000. May 1 Sold...
-
The following are selected 2015 transactions of Pedigo Corporation. Jan. 1 Purchased a small company and recorded goodwill of $150,000. Its useful life is indefinite. May 1 Purchased for $75,000 a...
-
Explain the broad implications of studies of genetics, neural roots, and personal life experiences for understanding the behavior of individual investors.
-
Discuss the main differences between the traditional and the modern finance paradigm in understanding the behavior of individual investors.
-
Discuss the disposition effect and the proposed explanations for this effect.
Study smarter with the SolutionInn App