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for the third picture im at a loss. i losing my brain. i forgot the formas and orders used The transactions relating to the formation
for the third picture im at a loss. i losing my brain. i forgot the formas and orders used
The transactions relating to the formation of Blue Co. Stores Inc. and its first month of operations follow. a. The firm was organized and the stockholders invested cash of $8.700. b. The firm borrowed $5,200 from the bank, a short-term note was signed. c. Display cases and other store equipment costing $1600 were purchased for cash. The original list price of the equipment was $1.950, but a discount was received because the seller was having a sale. d. A store location was rented, and $1,600 was paid for the first month's rent e. Inventory of $14.700 was purchased: $9,300 cash was paid to the suppliers, and the balance will be paid within 30 days. 1. During the first week of operations, merchandise that had cost $3,200 was sold for $6,500 cash. 9. A newspaper ad costing $140 was arranged for Itran during the second week of the store's operations. The ad will be paid for in the h. Additional inventory costing $4150 was purchased cash of $1,300 was paid, and the balance is due in 30 days. 1. In the last three weeks of the first month, sales totaled $13,500, of which $9,100 was sold on account. The cost of the goods sold totaled $8.900 J. Employee wages for the month totaled $2,000; these will be paid during the first week of the next month, k. The firm collected a total of $3,200 from the sales on account recorded in transaction i 1. The firm paid a total of $4,300 of the amount owed to suppliers from transaction e. next month. Required: a. Record each transaction in the appropriate columns. Indicate the financial statement effect b. Calculate the total assets, liabilities, and stockholders' equity at the end of the month and calculate the amount of net income for the month. c. After completing parts a through I prepare an income statement for Blue Co Stores Inc. for the month presented and a balance sheet at the end of the month. Record each SLUIT OUROL LULERIS. MMM Transaction Merchandise Inventory LIABILITIES Notes Accounts Payable - Payable STOCKHOLDERS' EQUITY Paid-in Retained Capital - Earnings + Revenue - Expenses 8,700 + Equipment = a b ASSETS Accounts Cash + Receivable + 8,700 5,200 (1.600) (1.600) (9.300) 6.500 5,200 1,600 d (1.600) 5,400 14.700 (3.200) 6,500 (3200) (140) 9 140 2.850 (1.300) 4.400 4, 150 (8.900) 9.100 13,500 (8.900) 12.000) 2.000 K (3.200) 3,200 (4300) 9.900 (4300) 6.090 + 5.900+ 6,750 1,600 5.200 8.700 01 20,000 15,840 Required A Required B Required C1 Required C2 Calculate the total assets, liabilities, and stockholders' equ for the month. Assets $ 24,150 Liabilities $ 11,290 Stockholders' Equity $ 12,860 4,160 Net Income $ Required A Required B Required ci Required C2 After completing parts a through I, prepare an income statement for decreases with a minus sign to indicate a negative income statement BLUE CO. STORES INC. Income Statement Effect ES $ 20,000 8,900 $ Sales Retained earnings Gross profit Rent expense Advertising expense Wages expense Gross loss 28,900 (1.600) (140) (2,000) Net income Step by Step Solution
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