During the first month of operations, July 2010, she engages in the following transactions: (a) Smith invests $35,000 of personal funds to start the business. (b) She purchases on account office supplies costing $340. (c) Smith pays cash of $32,000 to acquire a lot next to the campus. She intends to use the land as a future building site for her business office. (d) Smith locates apartments for clients and receives cash of $1,800. (e) She pays $100 on the account payable she created in transaction (b). (f) She pays $2,000 of personal funds for a vacation. (g) She pays cash expenses for 1) office rent, $500; 2) utilities, $100. (h) The business sells office supplies to another business for its cost of $170. (i) Smith withdraws cash of $1,100 for personal use. Jill Smith opens an apartment-locator business near a college campus. She is the sole owner of the proprietorship, which she names Campus Apartment Locators. Click the icon to view the occurred events. a. Analyze the preceding transactions in terms of their effects on the accounting equation of Campus Apartment Locators. Fill in the table below. (Round to the nearest dollar.) Owner's Equity Assets Liabilities Type of Transaction Office Cash Supplies Land Payable Capital %3D (a) (b) (c) (d) (e) (f) (g.1) (g.2) (h) (i) Bal. b. Prepare the income statement and balance sheet of the business after recording the transactions. Fill in the table below. (Round to the nearest dollar. Enter positive values only.) Income Statement Month Ended July 31, 2010 Revenue: Service revenue Expenses: Rent expense Utilities expense Total expenses Net income Fill in the table below. (Round to the nearest dollar. Enter positive values only.) Statement of Owner's Equity Month Ended July 31, 2010 Jill Smith, capital, July 1, 2010 Investment by owner Net income for the month Withdrawals by owner Jill Smith, capital, July 31, 2010 Fill in the table below. (Round to the nearest dollar. Enter positive values only.) Balance Sheet July 31, 2010 Assets Liabilities Accounts payable Cash Office supplies Owner's Equity Land Jill Smith, capital Total liabilities and owner's equity Total assets During the first month of operations, July 2010, she engages in the following transactions: (a) Smith invests $35,000 of personal funds to start the business. (b) She purchases on account office supplies costing $340. (c) Smith pays cash of $32,000 to acquire a lot next to the campus. She intends to use the land as a future building site for her business office. (d) Smith locates apartments for clients and receives cash of $1,800. (e) She pays $100 on the account payable she created in transaction (b). (f) She pays $2,000 of personal funds for a vacation. (g) She pays cash expenses for 1) office rent, $500; 2) utilities, $100. (h) The business sells office supplies to another business for its cost of $170. (i) Smith withdraws cash of $1,100 for personal use. Jill Smith opens an apartment-locator business near a college campus. She is the sole owner of the proprietorship, which she names Campus Apartment Locators. Click the icon to view the occurred events. a. Analyze the preceding transactions in terms of their effects on the accounting equation of Campus Apartment Locators. Fill in the table below. (Round to the nearest dollar.) Owner's Equity Assets Liabilities Type of Transaction Office Cash Supplies Land Payable Capital %3D (a) (b) (c) (d) (e) (f) (g.1) (g.2) (h) (i) Bal. b. Prepare the income statement and balance sheet of the business after recording the transactions. Fill in the table below. (Round to the nearest dollar. Enter positive values only.) Income Statement Month Ended July 31, 2010 Revenue: Service revenue Expenses: Rent expense Utilities expense Total expenses Net income Fill in the table below. (Round to the nearest dollar. Enter positive values only.) Statement of Owner's Equity Month Ended July 31, 2010 Jill Smith, capital, July 1, 2010 Investment by owner Net income for the month Withdrawals by owner Jill Smith, capital, July 31, 2010 Fill in the table below. (Round to the nearest dollar. Enter positive values only.) Balance Sheet July 31, 2010 Assets Liabilities Accounts payable Cash Office supplies Owner's Equity Land Jill Smith, capital Total liabilities and owner's equity Total assets
