ad frounds transactions for April $2023$ are provided for your review:

Recerved contributions from five investors of $$60,000$ in cash $($ $$12,000$ each$),$ a barn valued at

$$100,000,$ and land valued at $$90,000.$ Each investor received $3,000$ shares.

b$.$ Built a small barn for $$62,000.$ The company paid half the amount in cash on April $1,2023,2$ed

signed a three$-$year note payable for the balance.

c$.$ Provided animal care services to customers, all on credit, for $$35,260.$

d$.$ Rented stables to customers who cared for their own animals, and received cash payment of $$130$

e$.$ Received from a customer $$2,400$ to board her horse in April, May, and June $($record as deferred

revenue$).$

f$.$ Purchased hay and feed supplies on account for $$3,180$ to be used in the summer.

Paid $$1,240$ in cash for water utilities expense incurred in the month.

h$.$ Paid $$2,700$ on accounts payable for previous purchases.

i$.$ Received $$10,000$ from customers on accounts receivable.

j$.$ Paid $$6,000$ in wages to employees who worked during the month.

k$.$ Purchased a one$-$year insurance policy for $$3,600$ at the end of the month.

l$.$ Received an electric utility bill for $$1,800$ for usage in April; the bill will be paid in May.

$m.$ Paid $$500$ cash dividend to each of the investors at the end of the month.

Required:

Set up appropriate T$-$accounts. All accounts begin with zero balances.

Record in the T$-$accounts the effects of each transaction for Alpine Stables in April, referencing each

transaction in the a

ccounts with the transaction letter. Show the ending balances in the T$-$accounts.

Prepare a statement of earnings for the year ended April $30,2023,$ as well as a classified statement of

financial position as at April $30,2023.$

Write a short memo to the five owners, offering your opinion on the results of operations during the

first month of business.

After three years in business, you are being evaluated for a promotion to chief financial officer. One

measure is how efficiently you managed the assets of the business. The following data are available:

${?}^{**}$ At the end of $2025,$ Alpine Stables decided to build an indoor riding arena for giving lessons year$-$round.

The company borrowed construction funds from a local bank and the arena was opened in early $2026.$

Compute the total asset turnover ratio and the return on assets for $2024$ and $2025$ and evaluate the

results. Do you think you should be promoted? Why? Ignore interest on the long$-$term note related

to transaction $(b).$