Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

CE Analyze transactions and compute net income On February 1, Luis Nieves established Nieves' Travel Agency. The following transactions were completed during the month 1.

image text in transcribed
image text in transcribed
image text in transcribed
CE Analyze transactions and compute net income On February 1, Luis Nieves established Nieves' Travel Agency. The following transactions were completed during the month 1. Invested $18,000 cash and a new computer and printer with a market value of $2,500 to start the agency 2 Paid $1,200 cash for February office rent and $1,000 for utilities. 3 Purchased equipment for $7,500 cash. 4 Incurred $1,300 of advertising costs in the El Nuevo Dia, on account. 5. Buy $1,100 of office supplies on account. 6. Performed services worth $12,000: $6,000 cash is received from customers, and the balance is billed to customers on account 7 Withdrew $2,000 cash for personal use. Paid El Nuevo Dia $750 of the amount due in transaction (4) Paid employees' salaries for $4,500 10. Received $3,800 in cash from customers who have previously been billed in transaction (6) VALUE 8. 9 Instructions (a) Prepare a tabular analysis of the transactions using the following table and accounts for Nieves Travel Agency Check the dollar signs in the first number of each column, in the totals. Verify that assets are equal to the liabilities and equity Check the double lines in the totals. Value 70 pts. 1 (b) Prepare an income Statement for the month ended February 28, 2020. Check the dollar sign and the double lines Value 21 pts 2 (c) Prepare a Statement of Owner's Equity Value 20 pts. (d) Prepare a Balance Sheet for February 28, 2020 Value 27 pts. (a) NIEVES TRAVEL AGENCY Cash Accounts Receivable Supplies Accounts Payable Owner's Capital - Equipment 1. 2. 3. 4 $ 6. 7. 8 9 10 total cuadre (b) INSERT THE NAME OF COMPANY Income Statement INSERT A DATE (c) INSERT THE NAME OF COMPANY Statement of Owner's Equity INSERT A DATE (d) INSERT THE NAME OF COMPANY Balance Sheet INSERT A DATE EL AGENCY Account name Accounts Payable Owner's Capital Own's Equity Owner's Drawings Revis Expenses

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Primary Science Audit And Test

Authors: Jenny Byrne, Andri Christodoulou, John Sharp

4th Edition

1446282732, 978-1446282731

More Books

Students also viewed these Accounting questions

Question

What advice would you provide to Jennifer?

Answered: 1 week ago

Question

What are the issues of concern for each of the affected parties?

Answered: 1 week ago