Answered step by step
Verified Expert Solution
Question
1 Approved Answer
The following events pertain to Super Cleaning Company 1. Acquired $15,100 cash from the issue of common stock. 2. Provided $13,100 of services on account.
The following events pertain to Super Cleaning Company 1. Acquired $15,100 cash from the issue of common stock. 2. Provided $13,100 of services on account. 3. Provided services for $4,100 cash 4. Received $2,500 cash in advance for services to be performed in the future 5. Collected $9,100 cash from the account receivable created in Event 2 6. Paid $5,100 for cash expense 7. Performed $1,250 of the services agreed to in Event 4 8. Incred $1,600 of expenses on account 9. Paid $1,150 cash in advance for one-year contract to rent office space. 10. Paid $1,250 cash on the account payable created in Event8 11. Paid a $1,600 cash dividend to the stockholders. 12. Recognized rent expense for nine months' use of office space acquired in Event 9 Required: Show the effects of the events on the financial statements using a following one. In the Cash Flows column, use the letters OA to designate operating activity, IA for investing activity, FA for financing activity, and NC for net change in cash. Use NA to indicate accounts not affected by the event. The first event is recorded as an example. (Do not round intermediate calculations. Round your final answers to the nearest whole dollar. Enter any decreases to account balances and cash outflows with a minus sign.) horizontal statements model like the SUPER CLEANING COMPANY Effect of Events on the Financial Statements Assets Liabilities Stockholders' Equity Income Statement Event No. Accounts Receivable Prepaid Rent Unearned+ Revenue Common Stock Statement of Cash Flows Acc Retained Earnings RevenueExpenses Net Income able 15.100+ 15,100+ 15,100 FA 2. 10 12 Bal
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started