Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Seven stars company is a sole proprietorship operated by Judie, whereas the following transactions have been occurred: 2017 Jul.1 Judie opened a bank account under

image text in transcribed

Seven stars company is a sole proprietorship operated by Judie, whereas the following transactions have been occurred: 2017 Jul.1 Judie opened a bank account under the name of seven Stars Company and made a deposit taken from her personal saving account of $150.000 to start the new business. 5 Purchased land and building for $60.000 in cash. The land was valued at $20.000; The Building $40.000. Issued check no.1. 11 Received furniture purchased on open charge account from the Jones Company for \$12.000; Supplier's invoice dated July 8. 2017. 20 Paid the Jones Company $9.000 from the amount owed to it. Issued check no .2 . 25 The company found that some of the furniture was not what it wanted. So it sold the furniture which had cost $2.800 to Aley Eldin for $2.800 on account. Aley promised to pay this amount in 30days; issued invoice no.1 29 Collected \$1.600 from Aley from the amount he owed to seven Stars Company for the Furniture sold to him on July 25 30 Invest \$1.300 in his company after selling some of his personal heritage. - Arrange the pervious transactions in assets liabilities and owner equity account to exhibit: Cash, accounts receivable, land, building, furniture, accounts payable and Ahmed's capital - Show by addition and subtraction the effect of the transaction on accounting equation. - Show the new balances after each transaction

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

More Books

Students also viewed these Accounting questions

Question

How is sublimation different from evaporation?

Answered: 1 week ago