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The following transactions are July activities of Bennett's Bowling, Incorporated, which operates several bowling centers, offering customers lanes for games, snack bar service, and merchandise
The following transactions are July activities of Bennett's Bowling, Incorporated, which operates several bowling centers, offering customers lanes for games, snack bar service, and merchandise for sale from the pro shop. a. Bennett's collected $31,000 from customers for games played in July. b. Bennett's served customers food from its snack bar; received $7,300 in cash. c. Bennett's received $2,900 from customers who purchased merchandise in June from the pro shop on account. d. The men's and ladies' bowling leagues gave Bennett's a deposit of $3,900 for the upcoming fall season. For each of the above transactions, complete the tabulation, indicating the amount of each transaction. (Remember that Assets = Liabilities + Stockholders' Equity; Revenues - Expenses = Net Income; and Net Income affects Stockholders' Equity through Retained Earnings.) The first transaction is provided as an example. Note: Reductions in account balances and loss amounts should be indicated with a minus sign. The following transactions are July activities of Bennett's Bowling, Incorporated, which operates several bowling centers, offering customers lanes for games, snack bar service, and merchandise for sale from the pro shop. e. Bennett's purchased $980 in food supplies for the snack bar; paid $860 in cash and owed the rest on account with the supplier. f. Bennett's paid $3,400 on the electricity bill for June (recorded as an expense in June). g. Bennett's paid $3,600 to employees for work in July. h. Bennett's purchased $3,600 in insurance for coverage from August 1 to November 1. i. Bennett's paid $1,400 to plumbers for repairing a broken pipe in the restrooms. j. Bennett's received the July electricity bill for $3,100 to be paid in August. For each of the above transactions, complete the tabulation, indicating the amount and effect of each transaction. (Remember that Assets = Liabilities + Stockholders' Equity; Revenues - Expenses = Net Income; and Net Income affects Stockholders' Equity through Retained Earnings.) The first transaction is provided as an example. Note: Reductions in account balances and loss amounts should be indicated with a minus sign
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