Question 1

Required:

• Complete the accounting equation and journal entries for the transactions given below.
• Complete the following ledger accounts: Cash, Capital, Accounts receivable, Accounts payable, Supplies, Fees earned. (You do not have to balance the accounts)

The following transactions appeared in the records of Canada Services (the business):

1. C Canada, the owner, invests $20 000 cash, and a building (cost $80 000, valuation $90 000) into the business.
2. Purchase office furniture for $7 000. $2 000 was paid in cash and the remainder on account.
3. C. Canada, the owner, paid his childs school fees for $2 500 and his water and electricity bill of $500 in cash withdrawn from the business.
4. Canada performed electrical and plumbing services for $4 000 cash and billed the clients for $6 000 on account.
5. Canada Services ordered and received office supplies from ABC Company, on account, for $3 000.
6. $4 000 was received from clients for services provided by Canada Services.
7. The business paid insurance of $1 200 cash for the whole year.
8. The accountant issued a cash check of $1 000 to ABC Company due on account.
9. The accountant of Canada Services calculated that $2 000 worth of supplies were unused by the Business

fill all tables

# No Assets Name of Account Increase Decrease Liabilities Name of Account Increase Decrease Owner's Equity Name of Account Increase Decrease 1. Journal entries: (12) No Account Dr Cr Ledger Accounts: (10) Cash Capital Accounts Receivable Accounts Payable Supplies Fees Earned