Problems

i

\ !\ Required information\ [The following information applies to the questions displayed below.]\ Following are the transactions of a new company called Pose-for-Pics.\ August 1 M. Harris, the owner, invested

$10,500

cash and

$45,150

of photography equipment in the company.\ August 2 The company paid

$2,800

cash for an insurance policy covering the next 24 months.\ August 5 The company purchased supplies for

$1,995

cash.\ August 20 The company received

$2,250

cash from taking photos for customers.\ August 31 The company paid

$870

cash for August utilities.\ Analyze each transaction above by showing its effects on the accounting equation-specifically, identify the accounts and amounts (including + or

->

) for each transaction. Use the following partial chart of accounts: Cash; Supplies; Prepaid Insurance; Equipment; M. Harris, Capital; Services Revenue; and Utilities Expense.\ \\\\table[[Date,,Assets,,

=

,,Liabilities,,+,Equity],[August 1,M. Harris, Capital,

-(t)

increase,55,650,

=

,7,,,+,],[August 1,?,7,,

=

,7,

r

,,+,F],[August 2,Prepaid insurance,

(+)

increase,2,800,

=

,Cash,

(+)

increase,2,800,+,],[August 5,Supplies,,,

=

,,,,+,],[August 5,

F

,.,,

=

,,,,+,

\\\\xi

Required information [The following information applies to the questions displayed below.] Following are the transactions of a new company called Pose-for-Pics. August 1 M. Harris, the owner, invested $10,500 cash and $45,150 of photography equipment in the company. August 2 The company paid $2,800 cash for an insurance policy covering the next 24 months. August 5 The company purchased supplies for $1,995 cash. August 20 The company received $2,250 cash from taking photos for customers. August 31 The company paid $870 cash for August utilities. Analyze each transaction above by showing its effects on the accounting equation-specifically, identify the accounts and amounts (including + or - ) for each transaction. Use the following partial chart of accounts: Cash; Supplies; Prepaid Insurance; Equipment; M. Harris, Capital; Services Revenue; and Utilities Expense