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Peter's Curling Inc. operates several curling centres (for games and equipment sales). The following transactions occurred in October of the current year: a. Peter's
Peter's Curling Inc. operates several curling centres (for games and equipment sales). The following transactions occurred in October of the current year: a. Peter's collected $13,000 from customers for games played in October (example). b. Peter's sold $7,000 in curling equipment inventory; received $3,000 in cash and the rest on account; cost of sales is $4,200. c. Peter's received $2,500 from customers on account who purchased merchandise in September. d. The curling league gave Peter's a deposit of $2,600 for the upcoming fall season.. e. Peter's paid $1,900 for the September electricity bill and received the October bill for $2,200 to be paid in November. Show net effect on Liabilities. f. Peter's paid $4,700 to employees for work in October. g. Peter's purchased $1,800 in insurance for coverage from October 1 to December 31. h. Peter's paid $1,400 to plumbers for repairing a broken pipe in the washrooms. Required: For each of the transactions above, complete the tabulation, indicating the amount of each transaction. (Remember that A =L+SE, R- E-NE, and NE affects SE through retained earnings.) The first transaction is provided as an example. (Enter any decreases to account balances with a minus sign.) Assets Statement of Financial Position Transaction Liabilities a. $ 13,000 = + Statement of Earnings Shareholders' Equity Revenues Expenses Net Earnings $ 13,000 $ 13,000 $ 13,000 b. C. d. 0. f. 9 h + . + " + .
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