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Han's Supplies' bank statement contained a $360 NSF check that one of its customers had written to pay for supplies purchased Required a. & c.
Han's Supplies' bank statement contained a $360 NSF check that one of its customers had written to pay for supplies purchased Required a. & c. Show the effects of the following transactions on the financial statements in the horizontal statements model. (a) Recognize the NSF check, (c) Customer redeems the check by giving Hans $380 cash in exchange for the bad check. The was a service fee charged by Hans. In the Cash Flow column, use OA to designate operating activity, IA for investment activity, FA for financing activity. (Enter any decreases to account balances and cash outflows with a minus sign. Not all cells in the "Statement of Cash Flows" column may require an input. leave cells blank if there is no corresponding input needed.) HAN'S SUPPLIES Horizontal Statements Model Event Assets Accounts + Receivable D Cash Income Statement Expense Net Income Liabilities L L Equity +Revenue Statement of Cash Flow b. Is the recognition of the NSF check on Han's books an asset source, use, or exchange transaction? Asset source Asset use Asset exchange d. Select which of the following is the correct answer Asset exchange is $380. Asset source is $380. Asset use is $380. Asset exchange is $360 and Asset source is $20. Asset source is $360 and Asset use is $20. Asset exchange is $380 and Asset use is $20
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