Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Identify how each of the following separate transactions through 10 affects financial statements. For increases, place a + and the dollar amount in the column

image text in transcribed
image text in transcribed
Identify how each of the following separate transactions through 10 affects financial statements. For increases, place a "+" and the dollar amount in the column or columns. For decreases, place and the dollar amount in the column or columns. Some cells may contain both an increase (+) and a decrease (-) along with the dollar amounts. The first transaction is completed as an example, Required: a. For the balance sheet, identify how each transaction affects total assets, total liabilities, and total equity. For the income statement identify how each transaction affects net income. b. For the statement of cash flows, identify how each transaction affects cash flows from operating activities, cash flows from investing activities, and cash flows from financing activities. Income Statement of Cash Flows Statement Net Operating Investing Financing Income Activities Activities Activities 4900 Balance Sheet Total Total Total Transaction Assets Liabilities Equity 1. Owner invests 5900 cash in business in exchange for stock 900 -900 2. Receives $700 cash for services provided 3. Pays $500 cash for employee wages 4. Buys $100 of equipment on credit 5. Purchases $200 of supplies on credit 16. Buvs oculoment for $300 cash b. For the statement of cash flows, identify how each transaction affects cash flows from operating activities, cash flows from inves activities, and cash flows from financing activities b. Balance Sheet Statement of Cash Flows Income Statement Net Income Total Total Liabilities Equity +900 Operating Investing Financing Activities Activities Activities +900 Transaction Total Assets 1. Owner invests $900 cash in business in exchange for stock +900 2. Receives 5700 cash for services provided 3. Pays 5500 cash for employee wages 4. Buys $100 of equipment on credit 5. Purchases $200 of supplies on credit 6. Buys equipment for 300 cash 7. Pays $200 on accounts payable 8. Provides $400 services on credit 9. Pays $50 cash for dividends 10 Collects $400 cash on accounts receivable

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

Communication And Auditing A Step By Step Guide

Authors: Melanie McKay, Elizabeth Rosa

1st Edition

075931652X, 978-0759316522

More Books

Students also viewed these Accounting questions

Question

The company has fair promotion/advancement policies.

Answered: 1 week ago