Sifuentes Consulting, owned and managed by Jos Sifuentes, provides marketing consulting services. In January 2011, Sifuentes Consulting

Sifuentes Consulting, owned and managed by José Sifuentes, provides marketing consulting services. In January 2011, Sifuentes Consulting posted the following transactions.

a. (Example) Received $9,500 cash for consulting services rendered in January.

b. Received an additional $10,000 in cash as an investment from José Sifuentes.

c. Purchased $12,000 of equipment, paying 25 percent in cash and owing the rest on a note due in two years.

d. Received $7,500 cash for consulting services to be performed in February.

e. Bought $1,000 of supplies on account.

f. Paid $1,100 for December utility bill (recorded as expense in December 2010).

g. Received utility bill for January for $1,250, due February 15.

h. Consulted for customers in January for fees totaling $15,900, due in February.

i. Received $12,000 cash for consulting services rendered in December.

j. Paid $500 toward supplies purchased in (e).

k. J. Sifuentes withdrew $3,000 cash from the business.

Required:

Indicate the accounts, amounts, and direction of the effects on the firm's accounting equation for each of the transactions. A sample is provided.

Transcribed Image Text:

Liabilities+ Owner's Equity Service Revenue (+R) +9,500 Assets (a) Cash +9,500