equation are shown. Describe e Earnings, transaction (e) had no effect on net in

Question

equation are shown. Describe e Earnings, transaction (e) had no effect on net income 18P l AccountsNotes Common Accounts +Supplies Payable+ Payable+ Stock Balance $4,100+$9,000$700 $800+$2,500 $2,000 Cash+ (a) +6,500 6,500 (b)-400 +400 +7,000 +7.000 (d) 800 (e) -4,900 -800 -300 +300 4,90 g) +1,200 +1,200 P22A. Transaction Analysis An analysis of the transactions of Hewitt Detective Agency for the mont May appears below. Line 1 summarizes the company's accounting equation data as of May 1 2-10 represent the transactions for May

Explanation / Answer

a. Assets = Cash $2400 + Accounts receivable $7600 + Supplies $500 + Equipment $8000 = $18500

Liabilities = Accounts payable $300 + Notes payable $5000 = $5300

Stockholders' equity = Common stock $10000 + Retained earnings $3200 = $13200

Assets = Liabilities + Stockholders' equity

$18500 = $5300 + $13200

$18500 = $18500

b.

c. Assets = Cash $7650 + Accounts receivable $8300 + Supplies $1480 + Equipment $8750 = $26180

Liabilities = Accounts payable $980 + Notes payable $4500 = $5480

Stockholders' equity = Common stock $10000 + Retained earnings $10700 = $20700

Assets = Liabilities + Stockholders' equity

$26180 = $5480 + $20700

$26180 = $26180

Line Transaction 2 Borrowed $2000 giving a note payable 3 Collected cash $6100 against accounts receivables 4 Purchased supplies of $980 on account 5 Made sales on account $6800 6 Paid $300 cash against accounts payable 7 Made cash sales of $1500 8 Paid cash for expenses $800 9 Purchased equipment for cash $750 10 Paid cash $2500 for repayment of notes payable

Related Questions

Navigate

• Browse (All)
• Browse E
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.