Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

I seem to be having trouble with income statements, owners equity and balance sheets Exercise 1-09 a1-a3 An analysis of the transactions made by Wildhorse

I seem to be having trouble with income statements, owners equity and balance sheets

image text in transcribedimage text in transcribedimage text in transcribedimage text in transcribed
Exercise 1-09 a1-a3 An analysis of the transactions made by Wildhorse & Co., a certified public accounting firm, for the month of August is shown below. The expenses were $650 for rent, $4,400 for salaries and wages, and $700 for utilities. Cash Accounts + Receivable + Supplies + Equipment = Payable Accounts Owner's Owner's + $15,100 Capital - Drawings + Revenues - Expenses 1. $15,100 2. -3,600 $6,000 $2,400 3. -750 $750 4. 5,300 $3,800 5. -1,100 $9,100 -1,100 6. -2,500 -$2,500 7. -650 -$650 8. 350 -350 9 . -4,400 10. -4,400 700 -700 Assume that August is the company's first month of business.Assume that August is the company's first month of business. Your answer is partially correct. Try again. Prepare an income statement for August 31, 2020. WILDHORSE & CO. Income Statement For the Month Ended August 31, 2020 v Revenues 9100 Expenses Salaries and Wages Expense 4400 Rent Expense 650 * Utilities Expense 600 Total Expenses 5750 Net Income / (Loss) 3350 LINK TO TEXTYour answer is partially correct. Try again. Prepare an owner's equity statement for August 31, 2020. (List items that increase owner's equity first.) WILDHORSE & CO. Owner's Equity Statement For the Month Ended August 31, 2020 v Owner's Capital, August 1 Add v Investments 15100 Net Income 3350 X 11750 x Less v Drawings Owner's Capital, August 31 vYour answer is partially correct. Try again. Prepare a balance sheet at August 31, 2020. (List Assets in order of liquidity.) WILDHORSE & CO. Balance Sheet August 31, 2020 Assets Cash 15100 Accounts Receivable 3450 Supplies 750 Equipment 6000 x Total Assets 25300 Liabilities and Owner's Equity Liabilities x Accounts Payable 3450 Owner's Equity x Owner's Capital X X Click if you would like to Show Work for this question: Open Show Work

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_2

Step: 3

blur-text-image_3

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

Accounting Information For Business Decisions

Authors: Loren A Nikolai, Billie Cunningham, John D Bazley

3rd Edition

1111066884, 9781111066888

More Books

Students also viewed these Accounting questions

Question

What is a relevant cost?

Answered: 1 week ago