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Curtis Hamilton started a new business and completed these transactions during December.

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Curtis Hamilton started a new business and completed these transactions during December.
Dec.

1 Curtis Hamilton transferred $56,000 cash from a personal savings account to a checking ac-
count in the name of Hamilton Electric in exchange for common stock.
2 The company rented office space and paid $800 cash for the December rent.
3 The company purchased $14,000 of electrical equipment by paying $3,200 cash and agreeing to
pay the $10,800 balance in 30 days.
5 The company purchased office supplies by paying $900 cash.
6 The company completed electrical work and immediately collected $1,000 cash for these services.
8 The company purchased $3,800 of office equipment on credit.
15 The company completed electrical work on credit in the amount of $4,000.
18 The company purchased $500 of office supplies on credit.
20 The company paid $3,800 cash for the office equipment purchased on December 8.
24 The company billed a client $600 for electrical work completed; the balance is due in 30 days.
28 The company received $4,000 cash for the work completed on December 15.
29 The company paid the assistant’s salary of $1,200 cash for this month.
30 The company paid $440 cash for this month’s utility bill.
31 The company paid $700 cash for dividends.

Required
1. Arrange the following asset, liability, and equity titles in a table like Exhibit 1.9: Cash; Accounts Receivable; Office Supplies; Office Equipment; Electrical Equipment; Accounts Payable; C. Hamilton Capital, C. Hamilton Withdrawals, Revenues and Expenses.

2. Use additions and subtractions to show the effects of each transaction on the accounts in the accounting equation. Show new balances after each transaction.

3. Use the increases and decreases in the columns of the table from part 2 to prepare an income statement, a statement of owners' Equity, and a statement of cash flows each of these for the current month. Also prepare a balance sheet as of the end of the month.

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