Bev's Dry Cleaners is owned and operated by Beverly Zahn. A building and equipment are currently being rented, pending expansion to new facilities. The actual work of dry cleaning is done by another company at wholesale rates. The assets, liabilities, and capitol stock of the business on Nov. 1, 2014 are as follows:

Cash = $39,000

Accounts Receivable = $80,000

Supplies = $11,000

Land = $50,000

Accounts Payable = $31,500

Businesss transactions during November are summarized as follows:

a) Beverly Zahn invested additional cash in the business with a deposit of $21,000 in the business bank account.

b) Purchased land adjacent to land currently owned by Bev's Dry Cleaners to use in the future as parking lot, paying cash of $35,000.

c) Paid rent for month, $4,000

d) Charged customers for dry cleaning revenue on account $72,000.

e) Paid creditor on account. $20,000.

f) Purchased supplies on account 8,000.

g) Received cash from cash customers for dry cleaning revenue $38,000

h) Received cash from customers on account $77,000.

i) Received monthly invoice for dry cleaning expense for November (to be paid on December 10). $29,450

k) Determined that the cost of supplies on hand was $11,800; therefore, the cost of supplies used the month was $7,200.

l) Withdrew $5,000 for personal use.

Instructions:

1. Determine the amount of Beverly Zahn's capital as of November 1.

2. State the assets, liabilities, and owner's equity as of November 1 in equation form similar to that shown in this chapter. In tabular form below the equation, indicator increases and decrease resulting from each transaction and the new balance after each transaction.