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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 !!!
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
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