Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Helen Crawford created a corporation providing legal services, Helen Crawford Inc., on July 1, 2022. On July 31 the balance sheet showed Cash $4,320, Accounts

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Helen Crawford created a corporation providing legal services, Helen Crawford Inc., on July 1, 2022. On July 31 the balance sheet showed Cash $4,320, Accounts Receivable $2,700, Supplies $540, Equipment $5,400, Accounts Payable $4,536, Common Stock $6,696, and Retained Earnings $1,728. During August, the following transactions occurred, Aug. 1 Collected $1,188 of accounts receivable due from customers. 4 Paid $2.916 cash for accounts payable due. 9 Performed services worth $5,832, of which $3,888 is collected in cash and the balance is due in $ eptember. 15 Purchased additional office equipment for $4,320, paying $756 in cash and the balance on account. 19 Paid salaries $1,512, rent for August $756, and advertising expenses $378. 23 Paid a cash dividend of $756. 26 Borrowed $5,400 from American Federal Bank; the money was berrowed on a 4-month note payable. 31 Incurred utility expenses for the month on account $416. Prepare a tabular analysis of the August transactions beginning with July 31 balances. Include margin explanations for any changes in revenues or expenses. (If a transaction results in a decrease in Assets, Liabilities or Stockholders' Equity, place a negative sign (or parentheses) in front of the omount entered for the particular Asset, Liability or Equity item that was reduced. Post entries in the order presented in the question.) HELEN CRAWFORD INC. Liabilities Equipment = Notes Payable + Accounts Payable + Common Stock 5 5 s 5 I Stockholders' Equity Retained Earnings $1,728 Dividends

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

Corporate Finance Text And Cases

Authors: Vishwanath S. R.

3rd Edition

9353282896, 978-9353282899

More Books

Students also viewed these Accounting questions

Question

What are the goals?

Answered: 1 week ago

Question

Are there other relevant characteristics about your key public?

Answered: 1 week ago

Question

What information remains to be obtained?

Answered: 1 week ago