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On August 31 , the balance sheet of Whispering Winds Corp. showed Cash $10 , 000 , Accounts Receivable $2.700 , Supplies $600 , Equipment
On August 31 , the balance sheet of Whispering Winds Corp. showed Cash $10 , 000 , Accounts Receivable $2.700 , Supplies $600 , Equipment $6 , 000 , Accounts Payable $4 , 600 , Common Stock $13 , 950 , and Retained Earnings $750 . During September, the following transactions occurred. 1. Paid $2 , 200 cash for accounts payable due. 2. Collected $1 , 650 of accounts receivable. 3. Purchased additional equipment for $2 , 150 , paying $900 in cash and the balance on account. 4. Recognized revenue of $8 , 000 , of which $2 , 950 is collected in cash and the balance is due in October. 5. Declared and paid a $1 , 050 cash dividend. 6. Paid salaries $2 , 050 , rent for September $1 , 150 , and advertising expense $200 . 7. Incurred utilities expense for month on account $260 . 8. Received $12 , 000 from Capital Bank on a 6-month note payable. Prepare a tabular analysis of the September transactions beginning with August 31 balances. (If a transaction causes a decrease in Assets, Liabilities or Stockholders' Equity, place a negative sign (or parentheses) in front of the amount entered for the particular Asset. Liability or Equity item that was reduced, See Illustration 1-8 for example.) Prepare an income statement for Sentemher. Prenare a retained earninos statement for Sentemher (l ist items that increase retained earnings first.) restion 4 of 6 Prepare a balance sheet at September 30. (List Assets in order of liquidity.) Whispering Winds Corp. Balance Sheet Assets Liabilities and Stockholders' Equity $
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