Question : 180. Selected transactions completed by a corporation described below. Indicate the : 1226636

 

180. Selected transactions completed by a corporation are described below.  Indicate the effects of each transaction on assets, liabilities, and stockholders’ equity by inserting “+” for increase and “-” for decrease in the appropriate columns at the right.  If appropriate, you may insert more than one symbol in a column. 

 

 

A

L

SE

(a)

Received cash from issuing capital stock

_____

_____

_____

(b)

Purchased supplies on account

_____

_____

_____

(c)

Paid rent for the current month

_____

_____

_____

(d)

Received cash for services sold to customers

_____

_____

_____

(e)

Returned some defective supplies purchased in (b)

_____

_____

_____

(f)

Paid insurance premiums in advance

_____

_____

_____

(g)

Paid cash to creditor for purchases in (b)

_____

_____

_____

(h)

Charged customers for services sold on account

_____

_____

_____

(i)

Paid cash to a customer as a refund for an overcharge

_____

_____

_____

(j)

Received cash on account from customers

_____

_____

_____

(k)

Paid cash dividends

_____

_____

_____

(l)

Recorded the cost of supplies used during the year

_____

_____

_____

(m)

Received invoice for electricity used

_____

_____

_____

(n)

Paid wages

_____

_____

_____

(o)

Purchased a truck for cash

_____

_____

_____

 

 

 

 

 

181. Schultz Tax Services, a tax preparation business, had the following transactions during the month of June:Example: Received cash from issuing capital stock, $25,000.1.  Received cash for providing accounting services, $3,000.2.  Billed customers on account for providing services, $7,000.3.  Paid advertising expense, $800.4.  Received cash from customers on account, $3,800.5.  Paid cash dividends, $1,500.6.  Received telephone bill, $220.7.  Paid telephone bill, $220.1)  In the table below, state the accounts affected by each transaction.  2)  Indicate the effect on the accounting equation of each transaction.  

    Assets

=  Liabilities

+ Stockholders’ Equity

Ex..  Cash  +25,000

 

Capital Stock  +25,000

1.

 

 

2.

 

 

3.

 

 

4.

 

 

5.

 

 

6.

 

 

7.

 

 

 

 

 

182. Flagger Company began operations on January 1, 2011.  The accountant prepared the following list of account balances from the company’s records for the first year ended December 31, 2011: 

 

Fees Earned

$165,000

 

Cash

$  30,000

 

Accounts Receivable

14,000

 

Selling Expenses

44,000

 

Equipment

42,000

 

Capital Stock

36,000

 

Accounts Payable

12,000

 

Interest Income

3,000

 

Salaries & Wages Expense

40,000

 

Rent Expense

51,000

 

Income Taxes Payable

5,000

 

Prepaid Rent

2,000

 

Notes Payable

20,000

 

Income Taxes Expense

18,000

 

 

 

 

 

 

Prepare an income statement for Flagger Company in good form. 

183. From the following list of accounts taken from Lamar’s accounting records, identify those that would appear on the income statement. 

(a)

Rent Expense

(b)

Land

(c)

Capital Stock

(d)

Fees Earned

(e)

Dividends

(f)

Wages Expense

(g)

Taxes Payable

 

 

184. Identify which of the following accounts appear on a balance sheet. 

(a)

Cash

(b)

Fees Earned

(c)

Capital Stock

(d)

Wages Payable

(e)

Rent Expense

(f)

Prepaid Advertising

(g)

Land