The following is a list of account balances for Pick-A-Pet, Incorporated, as of June 30, Year...

 

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The following is a list of account balances for Pick-A-Pet, Incorporated, as of June 30, Year 3: Accounts Payable. Accounts Receivable Cash Common Stock Equipment Logo and Trademarks Notes Payable Retained Earnings Software $ 358,400 83,000 740,600 686,100 61,600 424,800 270,500 119,500 134,500 The company entered into the following transactions during July, Year 3. Stockholders contribute $460,000 cash for additional ownership shares and the company borrows $230,000 in cash from a bank to buy new equipment at a later date. No other transactions took place during July, Year 3. Required: a. Prepare a classified balance sheet for the company at June 30, Year 3. b. Show the effects of the July transactions on the basic accounting equation. c. Prepare the journal entries that would be used to record the transactions. The following is a list of account balances for Pick-A-Pet, Incorporated, as of June 30, Year 3: Accounts Payable. Accounts Receivable Cash Common Stock Equipment Logo and Trademarks Notes Payable Retained Earnings Software $ 358,400 83,000 740,600 686,100 61,600 424,800 270,500 119,500 134,500 The company entered into the following transactions during July, Year 3. Stockholders contribute $460,000 cash for additional ownership shares and the company borrows $230,000 in cash from a bank to buy new equipment at a later date. No other transactions took place during July, Year 3. Required: a. Prepare a classified balance sheet for the company at June 30, Year 3. b. Show the effects of the July transactions on the basic accounting equation. c. Prepare the journal entries that would be used to record the transactions.

Answer rating: 100% (QA)

a Classified Balance Sheet for PickAPet as of June 30 Year 3 Assets Current Assets Cash 83000 Accoun... View the full answer