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Larry Power started a new business in the name of Power Electrical on October 1 , 2 0 2 3 . During October, a number
Larry Power started a new business in the name of Power Electrical on October During October, a number of activities occurred and the following totals resulted at October shown in accounting equation format:
Assets Liabilities Equity
Cash Accounts Receivable Office Supplies Office Equip. Electrical Equip. Accounts Payable Larry Power, Capital
$ $ $ $ $ $ $
During November, the following occurred:
Nov. Rented office space and paid cash for the mont
hs rent of $
Purchased electrical equipment for $ from an electrician who was going out of business, by using $ in personal funds and agreeing to pay the balance in days. Hint: Reminder to record the impact of the owner's deposit of cash in the business before recording the purchase of the equipment.
Purchased office supplies by paying $ cash.
Completed electrical work and immediately collected $ for doing the work.
Purchased $ of office equipment on credit.
Completed electrical work on credit in the amount of $
Interviewed and hired a parttime electrician who will be paid $ each month. He will begin work in three weeks.
Purchased $ of office supplies on credit.
Paid for the office equipment purchased on November
Billed a client $ for electrical work; the balance is due in days.
Received $ for the work completed on November
Paid the office assistants salary of $
Paid the monthly utility bills of $
Power withdrew $ from the business for personal use.
Required:
Complete the following table. Use additions and subtractions to show the effects of each November activity on the items in the equation. For each change in equity, select whether the change was caused by an investment, a revenue, an expense, or a withdrawal. Determine the final total for each item and verify that the equation is in balance. Enter all amounts as positive values. If the transactionevent does not affect equity or does not require a journal entry, select No Affect on Equity" in the 'Explanation of equity transaction' field.
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