On June 1 of the current year, Chad Wilson established a business to manage rental property. He completed the following transactions during June:
Transactions On June 1 of the current year, Chad Wilson established a business to manage rental property. He completed the following transactions during June a. Opened a business bank account with a deposit of $28,000 from personal funds b. Purchased office supplies on account, $3,310. fees earned for managing rental property, $8,950. d. Paid rent on office and equipment for the month, $4,060. e. Paid creditors on account, $1,500. f. Billed customers for fees earned for managing rental property, $7,520. g. Paid automobile expenses (including rental charges) for the month, $900, and miscellaneous expenses, $450 h. Paid office salaries, $2,860. i. Determined that the cost of supplies on hand was $1,960; therefore, the cost of supplies used was $1,350. j. Withdrew cash for personal use, $2,710 Required 1. Indicate the effect of each transaction and the balances after each transaction: For those boxes in which no entry is required, leave the box blank. For those boxes in which you must enter subtractive or negative numbers use a minus sign. (Example: -300) Assets - Liabilities+ Owner's Equity Chad Chad Accounts Accounts Supplies Payable Fees Earned Item Cash + +Wilson,Wilson, + Capital Drawing Salaries ExpenseExpense .Rent Receivable a. b. Bal. c. Bal. d. rent year, Chad Wilson established a business to manage rental property. He completed the following transactions during June: s bank account with a deposit of $28,000 from personal funds. supplies on account, $3,310. m fees earned for managing rental property, $8,950. e and equipment for the month, $4,060. account, $1,500. for fees earned for managing rental property, $7,520. xpenses (including rental charges) for the month, $900, and miscellaneous expenses, $450. s,$2,860 the cost of supplies on hand was $1,960; therefore, the cost of supplies used was $1,350. personal use, $2,710. of each transaction and the balances after each transaction: hich no entry is required, leave the box blank. hich you must enter subtractive or negative numbers use a minus sign. (Example: -300) Assets Owner's Equity Chad Chad SalariesSupplies EarnedExpenseExpense Expense Rent Auto ExpenseExpense Accounts Accounts Misc. +Wilson,Wilson,+ +Fees + Supplies Capital Drawing 2. Owners equity is the right of owners to the assets of the business. These rights are owner's withdrawals and expenses. by owner's investments and revenues and 3. Determine the net income for June. 4 June's transactions (a-j) increased or decreased Chad Wilson's capital to? to
