Connie Young, an architect, opened an office on October 1, 20Y4. During the month, she completed the following transactions connected with her professional practice:

1. Transferred cash from a personal bank account to an account to be used for the business, $42,200.
2. Paid October rent for office and workroom, $4,200.
3. Purchased used automobile for $27,000, paying $6,300 cash and giving a note payable for the remainder.
4. Purchased office and computer equipment on account, $8,400.
5. Paid cash for supplies, $2,030.
6. Paid cash for annual insurance policies, $2,800.
7. Received cash from client for plans delivered, $10,600.
8. Paid cash for miscellaneous expenses, $1,140.
9. Paid cash to creditors on account, $2,450.
10. Paid $340 on note payable.
11. Received invoice for blueprint service, due in November, $1,400.
12. Recorded fees earned on plans delivered, payment to be received in November, $7,300.
13. Paid salary of assistants, $2,200.
14. Paid gas, oil, and repairs on automobile for October, $550.

2)

The following data (in millions) were taken from the financial statements of Tarrow Corporation:

	Recent Year		Prior Year
Revenue	$460,530		$430,000
Operating expenses	394,548		366,000
Operating income	$65,982		$64,000

a. For Tarrow Corporation, determine the amount of change in millions and the percent of change from the prior year to the recent year for:

1. Revenue
2. Operating expenses
3. Operating income

(For those boxes in which you must enter negative numbers use a minus sign. Round percentage answers to one decimal place.)

	Amount of Change (in millions)	Percent of Change (round to 1 decimal place)	Increase or Decrease
1. Revenue	$fill in the blank 1	fill in the blank 2%
2. Operating expenses	fill in the blank 4	fill in the blank 5
3. Operating income	fill in the blank 7	fill in the blank 8

b. During the recent year, revenue and operating expenses . As a result, operating income , from the prior year.

3)

Journal Entries

Emerald Tours Co. is a travel agency. The nine transactions recorded by Emerald Tours Tours during May 20Y5, its first month of operations, are indicated in the following T accounts:

Cash			Equipment			Mary Silva, Drawing
(1) 35,900	(2) 2,500		(3) 25,800			(9) 3,600
(7) 14,350	(3) 4,650
	(4) 3,950
	(6) 10,750
	(9) 3,600

Accounts Receivable			Accounts Payable			Fees Earned
(5) 19,400	(7) 14,350		(6) 10,750	(3) 21,150			(5) 19,400

Supplies			Mary Silva, Capital			Operating Expenses
(2) 2,500	(8) 1,450			(1) 35,900		(4) 3,950
						(8) 1,450

Prepare the nine journal entries from which the postings were made. If an amount box does not require an entry, leave it blank.

(1)		fill in the blank 2	fill in the blank 3
		fill in the blank 5	fill in the blank 6
(2)		fill in the blank 8	fill in the blank 9
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(3)		fill in the blank 14	fill in the blank 15
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		fill in the blank 20	fill in the blank 21
(4)		fill in the blank 23	fill in the blank 24
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(5)		fill in the blank 29	fill in the blank 30
		fill in the blank 32	fill in the blank 33
(6)		fill in the blank 35	fill in the blank 36
		fill in the blank 38	fill in the blank 39
(7)		fill in the blank 41	fill in the blank 42
		fill in the blank 44	fill in the blank 45
(8)		fill in the blank 47	fill in the blank 48
		fill in the blank 50	fill in the blank 51
(9)		fill in the blank 53	fill in the blank 54
		fill in the blank 56	fill in the blank 57