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Balance Sheet Jay Pembroke started a business. During the first month (April 20--), the following transactions occurred. a. Invested cash in business, $20,000. b. Bought

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Balance Sheet Jay Pembroke started a business. During the first month (April 20--), the following transactions occurred. a. Invested cash in business, $20,000. b. Bought office supplies for $4,400: $1,800 in cash and $2,600 on account. c. Paid one-year insurance premium, $1,400. d. Earned revenues totaling $3,400: $1,200 in cash and $2,200 on account. e. Paid cash on account to the company that supplied the office supplies in transaction (b), $2,250. f. Paid office rent for the month, $600. g. Withdrew cash for personal use, $100. The effect of each transaction is shown in the individual accounts of the expanded accounting equation. The effect of each transaction is shown in the individual accounts of the expanded accounting equation. Liabilities + Owner's Equity (Amts. Owed) (Earnings) (Items Owned) Accounts Office + Receivable Supplies Cash + Prepaid Insurance Accounts Payable (Owner's Investment) J. Pembroke, J. Pembroke, Capital Drawing 20,000 + Revenues Expenses Description 20,000 b. 4,400 2,600 c. 1,400 d. (1,800) (1,400) 1,200 (2,250) (600) 2,200 3,400 Service fees e. (2,250) f. 600 Rent expense g. (100) Bal. 15,050 + 100 2,200 4,400 1,400 350 20,000 100 3,400 600 Jay Pembroke Income Statement For Month Ended April 30, 20-- Revenues: Service fees $3,400 Expenses: Rent expense 600 Net income $2,800 Jay Pembroke Statement of Owner's Equity For Month Ended April 30, 20-- Jay Pembroke, capital, April 1, 20-- $ - Investment during April 20,000 Total investment $20,000 Net income for April $2,800 Less withdrawals for April 100 Increase in capital 2,700 Jay Pembroke, capital, April 30, 20-- $22,700 Use the information to prepare a balance sheet for Jay Pembroke as of April 30, 20--. Jay Pembroke Balance Sheet April 30, 20- Assets Liabilities Owner's Equity Total assets Total liabilities & owner's equity $

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