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Assets = Liabilities + Equity Cash + Accounts Receivable + Office Supplies + Office Equip. + Electrical Equip. = Accounts Payable + Larry Power, Capital
Assets Liabilities Equity
Cash Accounts Receivable Office Supplies Office Equip. Electrical Equip. Accounts Payable Larry Power, Capital
$ $ $ $ $ $ $
During November, the following occurred:
Nov. Rented office space and paid cash for the months rent of $
Purchased electrical equipment for $ from an electrician who was going out of business, by using $ in personal funds and agreeing to pay the balance in days.
Purchased office supplies by paying $ cash.
Completed electrical work and immediately collected $ for doing the work.
Purchased $ of office equipment on credit.
Completed electrical work on credit in the amount of $
Interviewed and hired a parttime electrician who will be paid $ each month. He will begin work in three weeks.
Purchased $ of office supplies on credit.
Paid for the office equipment purchased on November
Billed a client $ for electrical work; the balance is due in days.
Received $ for the work completed on November
Paid the office assistants salary of $
Paid the monthly utility bills of $
Power withdrew $ from the business for personal use.
The following table shows the effects of each November activity on the items in the equation.
Cash Accounts Receivable Office Supplies Office Equip. Electrical Equip. Accounts Payable Larry Power,Capital Explanation of Equity Transaction
Bal. Oct. $ $ $ $ $ $ $
Nov. Rent expense
Investment by owner
$ $
Electrical fees earned
Electrical fees earned
Electrical fees earned
Salaries expense
Utilities expense
Withdrawal by owner
$ $ $ $ $ $ $
$ $
Required:
Using the above information, prepare an income statement.
Using the above information, prepare a statement of changes in equity.
Using the above information, prepare a balance sheet.
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1 Income Statement for Cobras Incorporated For the Month Ended November 30 2023 Revenu...Get Instant Access to Expert-Tailored Solutions
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