Bill Gates, entrepreneur, opened a computer business and completed the following transactions in May. Show the...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Bill Gates, entrepreneur, opened a computer business and completed the following transactions in May. Show the effects of the transactions on the accounting equation below. Show that the accounting equation balances. (a) B. Gates, Owner invested $65,000 cash in the business (b) Purchased computer equipment for $26,000 on credit (c) (d) Received $75,000 cash for computer services performed in May Paid $15,000 for a portion of the computer equipment purchased in (b) above (e) Billed $48,000 to customers who used credit to purchase computer services performed in May (f) Gates withdrew $10,000 cash from the business (g) Paid $9,000 for rent for May Assets a b C d e f g Balances + Accounts Cash Receivable Equipment = Liabilities + + Accounts Payable Equity + + Bill Gates Capital Bill Gates Withdrawals Revenues Expenses Bill Gates, entrepreneur, opened a computer business and completed the following transactions in May. Show the effects of the transactions on the accounting equation below. Show that the accounting equation balances. (a) B. Gates, Owner invested $65,000 cash in the business (b) Purchased computer equipment for $26,000 on credit (c) (d) Received $75,000 cash for computer services performed in May Paid $15,000 for a portion of the computer equipment purchased in (b) above (e) Billed $48,000 to customers who used credit to purchase computer services performed in May (f) Gates withdrew $10,000 cash from the business (g) Paid $9,000 for rent for May Assets a b C d e f g Balances + Accounts Cash Receivable Equipment = Liabilities + + Accounts Payable Equity + + Bill Gates Capital Bill Gates Withdrawals Revenues Expenses
Expert Answer:
Answer rating: 100% (QA)
Transaction a Bill Gates invested 65000 cash in the business Assets Cash increase by 65000 Equity B... View the full answer
Related Book For
Principles of Accounting
ISBN: 978-1133626985
12th edition
Authors: Belverd E. Needles, Marian Powers and Susan V. Crosson
Posted Date:
Students also viewed these finance questions
-
Problem 3 The Carlson Company is showing $14,724 in their Ledger Cash account on March 31, 20X3. As the company's Internal Auditor, you have been asked to do the reconcilation between the company...
-
Lita Lopez started Biz Consulting, a new business, and completed the following transactions during its first year of operations. a. Lita Lopez invested $70,000 cash and office equipment valued at...
-
The draft income statements of Lampard plc, Rekik Limited and Sanya Limited for the year ended 31 December 2014 are given below. Revenue Cost of sales Gross profit Distribution costs Administrative...
-
9.3.1 Which of the following statements are true concerning the mean of the differences between two dependent samples (matched pairs)? Select all that apply. A. The requirement of a simple random...
-
This problem requires Beer's law from Chapter 17. The oxidized form (Ox) of a flavor protein that functions as a one-electron reducing agent has a molar absorptivity ( ) of 1.12 104 M-1 cm -1 at 457...
-
Seaview Industries received authorization on December 31, Year 1, to issue $7,000,000 face value of 6%, 10-year bonds. The interest payment dates are June 30 and December 31. All the bonds were...
-
What are proper authorization and physical controls? Give an example of each.
-
Rodriguez, Inc., is preparing its direct labor budget for 2012 from the following production budget based on a calendar year. Each unit requires 1.6 hours of direct labor. Instructions Prepare a...
-
Find the derivative. 1. P(x)= (5x2+4x - 9)4 2 . f(x ) =_5 (4-7x 3. +(x)= 15x-2 4. Find the derivative at the xpups value . . . f ( x ) = ( 4 x-5) at x= - 1 5X+7 5. Jud Wie derivative x 4- 4X15y:50
-
The owner of Neros company has hired you to analyze her company's performance and financial position, as well as the positions of Iits competitors, Centar and Xermix. However, the data Neros abtained...
-
Find the matrix A' for T relative to the basis B'. T: R2 R2, T(x, y) = (5x + y, y), B' = {(-4, 1), (1, -1)} A' = I t
-
Analyze the role of perception in cognitive psychology. Make a concept map Using the term - Cognitive Psychology include at least 10 things that come to mind when you think of our course topic...
-
From a Christian worldview perspective, ethics and integrity are integral to accounting because they align with fundamental principles of honesty, transparency, and stewardship. Christianity...
-
Department G had 2,160 units 25% completed at the beginning of the period, 13,400 units were completed during the period; 1,800 units were 20% completed at the end of the period, and the following...
-
Copy your previous class definition for RectangularSolid from the previous problem, including both methods. Provide mutators (setters) and accessors (getters) for each of the three parameters. Use...
-
Do you believe that the tourism industry should participate in a free-market system, or do you believe in market interventions? If so, what interventions? If not, why not? Defend your position.
-
Harmony Road Music Company (HRM) provides instrumental music education to children of all ages. Payment for services comes from two sources: (1) a contract with Imagine That School to provide private...
-
On January 1, 2018, Khalid Ltd., which follows IAS 17, entered into an eight-year lease agreement for three dryers. Annual lease payments for the equipment are $28,500 at the beginning of each lease...
-
Scientists at Amazing Laboratories, Inc., have just perfected Sparkle, a liquid substance that dissolves silver tarnish. The substance, which is generated by a complex process involving five...
-
Match each term that follows with the related term. 1. Discount 2. Callable 3. Face interest rate 4. Unsecured 5. Registered 6. Term a. Convertible b. Secured c. Coupon d. Market interest rate e....
-
Using the data in SE2, calculate the cost of ending inventory and cost of goods sold according to the FIFO method under the perpetual inventory system. In SE2, Assume the following data with regard...
-
Computer fixed costs per unit (Learning Objective 2) Sport-time produces high-quality basketballs. If the fixed cost per basketball is \(\$ 3\) when the company produces 12,000 basketballs, what is...
-
Identify cost behavior (Learning Objective 1) The chart below shows three different costs: Cost A, Cost B, and Cost C. For each cost, the chart shows the total cost and cost per unit at two different...
-
Classify cost behavior (Learning Objective 3)} Ariel builds innovative loudspeakers for music and home theater. Identify the following costs as variable or fixed: a. Depreciation on equipment used to...
Study smarter with the SolutionInn App