Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

i want to make Accounting Cycle Step 1 Analyze Business Transactions on the data in first picture .. Like the method for solving the second

i want to make Accounting Cycle Step 1 Analyze Business Transactions on the data in first picture .. Like the method for solving the second image !!!
image text in transcribed
image text in transcribed
Started new business Alnaqbi for Football Training. Following transaction are made in the month of August 2020. Transactions 1. I contribute S4,000 in cash to start the business. 2. I purchase $500 worth of equipment for use during classes 3. I purchase liability insurance at a total cost of $1,200. The policy covers September 1 through December 31 paid on 08-03-2020. 4. I receive cash totaling $800 for classes 5. I appointed an instructor teaches classes for the month. I agree to pay $600 for the classes. $300 is paid on August 31, and $300 will be paid on September 15 6. I pay rent for august of $1,000 on August 31. 7. I use utilities (electricity and water) totaling $200. This amount is payable on September 15. I purchase an additional $400 worth of mats, equipment, and clothing for sale 8. I sell inventory costing $150 for a revenue of $225 9. I'm worried about money, so my Unele makes an offer. He agrees to loan me $2,000 in cash. I will need to repay him sometime later, but he doesn't say when 10. After borrowing money, I decide to withdraw some of investment in the studio to pursue other opportunities. I decide to withdraw $1,000. 11. Depreciation @ $20/month. TRANSACTION 10. DIVIDENDS The corporation pays a dividend of 1,300 in cash to Ray and Barbara Neal, the shareholders of Softbyte SA. Illustration 1-10 Trans- action Assets = Liabilities + Accounts Accounts Receivable + Supplies - Equipment = Payable Equity Retained Earnings Rev. Exp. Div. Cash Share Capital 1. +15,000 +15,000 -7,000 2. +7,000 3. +1,600 +1,600 +1,200 +1,200 +250 -250 4. 5. 6. 7. +2,000 +3,500 +1,500 -1,700 -600 -900 -200 8. -250 -250 +600 -1,300 9. 10. -600 -1,300 1-45 18,050 18,050 LO 7

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

Research On Professional Responsibility And Ethics In Accounting Volume 24

Authors: Charles Richard Baker

1st Edition

180071758X, 9781800717589

More Books

Students also viewed these Accounting questions

Question

What is the formula for computing a Pearson residual?

Answered: 1 week ago

Question

What are the functions of top management?

Answered: 1 week ago

Question

Bring out the limitations of planning.

Answered: 1 week ago

Question

Why should a business be socially responsible?

Answered: 1 week ago

Question

Discuss the general principles of management given by Henri Fayol

Answered: 1 week ago

Question

Describe the major barriers to the use of positive reinforcement.

Answered: 1 week ago