5 6 27 28 29 Xfx B C D E F G H K Each of the remaining sheets in this file contains 1) a description of a transaction and 2) a partially completed balance sheet, income statement, and statement of retained earnings. For each transaction, show how the financial statements would change. Each transaction is independent, so you can work through the file in any order you like. All changes are entered in the blue cells on the statements. Each statement has two columns. Values in the first column are selected from a drop-down menu. For a given transaction, there may be several (or even many) blue cells that do not need to be changed. 30 31 32 33 34 35 + 36 37 38 40 41 42 Instructions Trans #1 Trans #2 Trans Trans #4 Trans Trans 6 Trans #7 Trank wa READT 9 E 05 C Statement of Financial Position ASSETS Transaction: Paid employees $2,000 for wages earned up to the end of last week. Current assets: Total current assets D EFG H Income Statement Gross profit Operating expenses: Total assets LIABILITIES AND SHAREHOLDERS' EQUITY Liabilities Current liabilities: Total operating expenses Earnings from operations Earnings before income taxes Net income [ ] 19 Total current liabilities Total liabilities Shareholders' Equity Total shareholders' equity Total liabilities and shareholders' equity Statement of Retained Earings Beginning balance Ending balance CRANIA RERA&REHRE Trans Trans Than Trans Tran Than Trans T TransPP READY e KB KB BELL Transaction: Received $400 from customers who had purchased inventory on credit last month Statement of Financial Position ASSETS Current assets: Total current assets Total assets LIABILITIES AND SHAREHOLDERS' EQUITY Liabilities Current liabilities: DEFG H Income Statement Gross profit Operating expenses: Total operating expenses Earnings from operations Earnings before income taxes 4 15 16 37 BERRA READY 9 Total current liabilities Total liabilities Net income Shareholders' Equity Total shareholders' equity Total liabilities and shareholders' equity Statement of Retained Earnings Beginning balance Ending balance T T tan T DOLO Xfx A Transaction: Paid $100 for an advertisement in the local newspaper. ABBAREERRA NO 41 MADY P Statement of Financial Position ASSETS Current assets D EFG H Income Statement Gross profit Operating expenses: Total current assets Total assets LIABILITIES AND SHAREHOLDERS' EQUITY Liabilities Current liabilities: Total operating expenses Earnings from operations Earnings before income taxes Net income Total current liabilities Total liabilities Shareholders' Equity Total shareholders' equity Total habilities and shareholders' equity Statement of Retained Earnings Beginning balance Ending balance Trams 92 T Trans Trans T Tram #7 Tran Tam COLL XVfx A Transaction: Purchased $1,200 of inventory on credit. 17 RAGRAFERRARARRAYA C Statement of Financial Position ASSETS Current assets: D EFG H Income Statement Gross profit Operating expenses: Total current assets Total assets LIABILITIES AND SHAREHOLDERS' EQUITY Liabilities Current liabilities: Total operating expenses Earnings from operations Earnings before income taxes Net income Total current liabilities Total liabilities Shareholders' Equity Total shareholders' equity Statement of Retained Earnings Beginning balance Total liabilities and shareholders' equity Ending balance Tran M B Tra DOLL Statement of Financial Position ASSETS D EFG H Income Statement Transaction: Sold inventory to customers for $900. The inventory cost the business $400. The customers paid cash at the time of sale. Current assets: Total current assets Total assets LIABILITIES AND SHAREHOLDERS' EQUITY Liabilities Current liabilities: Gross profit Operating expenses: Total operating expenses Earnings from operations Earnings before income taxes 5 NG Total current liabilities 11 Total liabilities 39 26 FARGRIE GERER Net income Shareholders' Equity Total shareholders' equity Total liabilities and shareholders' equity Statement of Retained Earnings Beginning balance Ending balance DOL