Loose Leaf for Financial Accounting: Information for Decisions
9th Edition
ISBN: 9781260158762
Author: John J Wild
Publisher: McGraw-Hill Education
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Chapter 1, Problem 10QS
Summary Introduction
Concept Introduction:
Accounting equation is a mathematical representation of the relation between assets, liabilities, and equity. According to this relation, the total assets are equal to the sum of liabilities and equity.
To indicate: the accounting equation table for the given transactions.
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Students have asked these similar questions
The following transactions were completed by the
company.
a. The company completed consulting work for a client
and immediately collected $7,100 cash.
b. The company completed commission work for a client
and sent a bill for $5,600 to be received within 30 days.
c. The company paid an assistant $2,200 cash as wages
for the period.
d. The company collected $2,800 cash as a partial
payment for the amount owed by the client in
transaction b.
e. The company paid $1,020 cash for this period's cleaning
services.
Required:
Enter the impact of each transaction on individual items of
the accounting equation. (Enter decreases to account
balances with a minus sign.)
Assets
Liabilities
Transactions Number
Accounts
Accounts
Owner,
Cash
Receivable
Payable
Capital
a.
%3D
b.
%3D
Balance after a and b
+
C.
+
%3D
Balance afterc
%3D
d.
%3D
Balance after d
+
%3D
е.
+
%3D
Balance after e
$
$
$
$
+
%3D
+
+
Use additions and subtractions to show the dollar effects of each transaction on a. to e. below on the expanded accounting
equation below. Intermediate balances are not required.
a. The company completed consulting work for a client and immediately collected $5,500 cash.
b. The company completed commission work for a client and sent a bill for $4,000 to be received within 30 days.
e. The company paid an assistant $1,400 cash as wages for the period.
d. The company collected $1,000 cash as a partial payment for the amount owed by the client in transaction b.
e. The company paid $700 cash for this period's cleaning services.
Date
Cash
+
Assets
Accounts
Receivable
+
Office
Equipment
=
=
Liabilities +
Accounts +
Payable
Common
Stock
4
Stockholders' Equity
Dividends + Revenues
Expenses
The following transactions were completed by the company.
a. The company completed consulting work for a client and immediately collected $6,900 cash.
b. The company completed commission work for a client and sent a bill for $5,400 to be received within 30 days.
c. The company paid an assistant $2,100 cash as wages for the period.
d. The company collected $2,700 cash as a partial payment for the amount owed by the client in transaction b.
e. The company paid $980 cash for this period's cleaning services.
Required:
Enter the impact of each transaction on individual items of the accounting equation.
Note: Enter decreases to account balances with a minus sign.
Transactions Number
a.
b.
Balance after a and b
C.
Balance after c
d.
Balance after d
e.
Balance after e
Cash
$
Assets
$ 6,900 +
6,900
+
6,900
+
+
+
+
+
6,900 +
980 +
7,880 +
Accounts
Receivable
$
5,400
$ 5,400 =
5,400
5,400
= Liabilities +
Accounts
Payable
5,400
=
=
=
=
=
=
=
=
=
$
0
0
0
0
+
+
+
+
+
+
+
+
+
+
Owner,
Capital
$
0
0
0…
Chapter 1 Solutions
Loose Leaf for Financial Accounting: Information for Decisions
Ch. 1 - Prob. 1DQCh. 1 - Technology is increasingly used to process...Ch. 1 - Identify four kinds of external users and describe...Ch. 1 - What are at least three questions business owners...Ch. 1 - Prob. 5DQCh. 1 - Describe the internal role of accounting for...Ch. 1 - Identify three types of services typically offered...Ch. 1 - Prob. 8DQCh. 1 - Why is accounting described as a service activity?Ch. 1 - What are some accounting-related professions?
Ch. 1 - Prob. 11DQCh. 1 - Prob. 12DQCh. 1 - What does the concept of objectivity imply for...Ch. 1 - Prob. 14DQCh. 1 - Prob. 15DQCh. 1 - Prob. 16DQCh. 1 - Define (a) assets, (b) liabilities, (c) equity,...Ch. 1 - Prob. 18DQCh. 1 - Prob. 19DQCh. 1 - What do accountants mean by the term revenue?Ch. 1 - Prob. 21DQCh. 1 - Prob. 22DQCh. 1 - Prob. 23DQCh. 1 - Prob. 24DQCh. 1 - Prob. 25DQCh. 1 - Prob. 26DQCh. 1 - Prob. 27DQCh. 1 - Define and explain return on assets.Ch. 1 - Define return and risk. Discuss the trade-off...Ch. 1 - Prob. 30DQCh. 1 - Prob. 31DQCh. 1 - Prob. 32DQCh. 1 - Choose from the following term or phrase a through...Ch. 1 - Prob. 2QSCh. 1 - Prob. 3QSCh. 1 - Identify each of the following terms or phrases as...Ch. 1 - Prob. 5QSCh. 1 - Prob. 6QSCh. 1 - Prob. 7QSCh. 1 - Prob. 8QSCh. 1 - Use Google's December 31. 2016, financial...Ch. 1 - Prob. 10QSCh. 1 - Prob. 11QSCh. 1 - Prob. 12QSCh. 1 - Prob. 13QSCh. 1 - Prob. 14QSCh. 1 - Prob. 15QSCh. 1 - Prob. 16QSCh. 1 - Prob. 17QSCh. 1 - Prob. 1ECh. 1 - Prob. 2ECh. 1 - Prob. 3ECh. 1 - Match each of the numbered descriptions I through...Ch. 1 - Prob. 5ECh. 1 - Enter the letter A through H for the principle or...Ch. 1 - Determine the missing amount from each of the...Ch. 1 - Prob. 10ECh. 1 - Prob. 11ECh. 1 - Prob. 12ECh. 1 - Prob. 13ECh. 1 - Prob. 14ECh. 1 - Prob. 15ECh. 1 - Use the information in Exercise 1-15 to prepare an...Ch. 1 - Prob. 17ECh. 1 - Prob. 18ECh. 1 - Prob. 19ECh. 1 - Prob. 20ECh. 1 - Prob. 21ECh. 1 - Prob. 22ECh. 1 - Prob. 23ECh. 1 - Identify how each of the following separate...Ch. 1 - Prob. 2PSACh. 1 - Prob. 3PSACh. 1 - Prob. 4PSACh. 1 - Prob. 5PSACh. 1 - Prob. 6PSACh. 1 - Gabi Gram started The Gram Co., a new business...Ch. 1 - Prob. 8PSACh. 1 - Sanyu Sony started a new business and completed...Ch. 1 - Prob. 10PSACh. 1 - Prob. 11PSACh. 1 - Prob. 12PSACh. 1 - Prob. 13PSACh. 1 - Prob. 14PSACh. 1 - Prob. 1PSBCh. 1 - Prob. 2PSBCh. 1 - Prob. 3PSBCh. 1 - Prob. 4PSBCh. 1 - Prob. 5PSBCh. 1 - Prob. 6PSBCh. 1 - Prob. 7PSBCh. 1 - Prob. 8PSBCh. 1 - Prob. 9PSBCh. 1 - Prob. 10PSBCh. 1 - Prob. 11PSBCh. 1 - Prob. 12PSBCh. 1 - Prob. 13PSBCh. 1 - Prob. 14PSBCh. 1 - On October 1, 2018, Santana Rey launched a...Ch. 1 - Prob. 1FSACh. 1 - comparative figures ($ millions) for both Apple...Ch. 1 - Prob. 3FSACh. 1 - Prob. 1BTNCh. 1 - Prob. 2BTNCh. 1 - Prob. 4BTNCh. 1 - Prob. 5BTNCh. 1 - Prob. 6BTN
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- The following transactions were completed by the company: a. The company completed consulting work for a client and immediately collected $7,000 cash. b. The company completed commission work for a client and sent a bill for $5,500 to be received within 30 days. c. The company paid an assistant $2,150 cash as wages for the period. d. The company collected $2,750 cash as a partial payment for the amount owed by the client in transaction b. e. The company paid $1,000 cash for this period's cleaning services. Required: Enter the impact of each transaction on individual items of the accounting equation. (Enter decreases to account balances with a minus sign.) Transactions Number b Balance after a and b Balance after c d. Balance after d Balance after e Cash $ Assets 0 0+ 0 55 41 Accounts Receivable $ 0 0 0 partne II Liabilities Accounts Payable $ 0 E 0 0 + Revenue 0 0 1 İ O Expenses 0 0 55 SHREEarrow_forwardThe following transactions were completed by the company. a. The company completed consulting work for a client and immediately collected $5,500 cash earned. b. The company completed commission work for a client and sent a bill for $4,000 to be received within 30 days. c. The company paid an assistant $1,400 cash as wages for the period. d. The company collected $1,000 cash as a partial payment for the amount owed by the client in transaction b. e. The company paid $700 cash for this period's cleaning services. Required: Enter the impact of each transaction on individual items of the accounting equation. (Enter decreases to account balances with a minus sign.) Assets Liabilities Equity %3D +] Accounts Accounts Common Cash Dividends Revenue Expenses %3D +] Receivable Payable Stock a. + %3D b. %3D Bal. %3D %3D C. Bal. %3D d. !! Bal. %3D %3! e. Bal. ++++ + ++++ + + +arrow_forwardThe following transactions were completed by the company. a. The company completed consulting work for a client and immediately collected $7,200 cash earned b. The company completed commission work for a client and sent a bill for $5,700 to be received within 30 days c. The company paid an assistant $2,250 cash as wages for the period d. The company collected $2,850 cash as a partial payment for the amount owed by the client in transaction b e. The company paid $1,040 cash for this period's cleaning services Required: Enter the impact of each transaction on individual items of the accounting equation (Enter decreases to account balances with a minus sign) Assets = Liabilities + Equity Cash + Accounts Receivable = Accounts Payable + Owner, Capital − Owner, Withdrawals + Revenue − Expenses a. + = + − + − b. + = + − + − Bal. + = + − + − c. + = + − + − Bal. + = + − + −…arrow_forward
- S The following transactions were completed by the company: a. The company completed consulting work for a client and immediately collected $7,200 cash. b. The company completed commission work for a client and sent a bill for $5,700 to be received within 30 days. c. The company paid an assistant $2,250 cash as wages for the period. d. The company collected $2,850 cash as a partial payment for the amount owed by the client in transaction b e. The company paid $1,040 cash for this period's cleaning services. Required: Enter the impact of each transaction on individual items of the accounting equation. Note: Enter decreases to account balances with a minus sign. Transactions Number a. b. Balance after a and b C. Balance after c Balance after d e. Balance after e Cash Assets + + + + + + + + + Accounts Receivable = Liabilities Accounts Payable = = = = # 1111 + + + + + + + + + + Common Stock II Equity Dividends + + + + + + + + Revenue 111 11 Expensesarrow_forwardYou run a consulting firm. During Year 1, your firm collected $200,000 from clients (all of these payments were for work previously done). On January 1, Year 1, the Accounts Receivable account had a balance of $40,000. On December 31, Year 1, the Accounts Receivable account had a balance of $60,000. Based on this information, what amount should your firm recognize as revenue for Year 1?arrow_forwardSuppose your company sells services for $325 cash this month. Your company also pays $100 insalaries and wages, which includes $15 that was payable at the end of the previous month and $85 forsalaries and wages of this month.Required:1. Show the journal entries to record these transactions.2. Calculate the amount that should be reported as net cash flow from operating activities.3. Calculate the amount that should be reported as net income.4. Show how the indirect method would convert net income (requirement 3) to net cash flowfrom operating activities (requirement 2).5. What general rule about converting net income to operating cash flows is revealed by youranswer to requirement 4?arrow_forward
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- The following transactions were completed by the company: The company completed consulting work for a client and immediately collected $5,500 cash. The company completed commission work for a client and sent a bill for $4,000 to be received within 30 days. The company paid an assistant $1,400 cash as wages for the period. The company collected $1,000 cash as a partial payment for the amount owed by the client in transaction b. The company paid $700 cash for this period's cleaning services. Required:Enter the impact of each transaction on individual items of the accounting equation. (Enter decreases to account balances with a minus sign.)arrow_forwarda. The company completed consulting work for a client and immediately collected $6,300 cash. b. The company completed commission work for a client and sent a bill for $4,800 to be received within 30 days. c. The company paid an assistant $1,800 cash as wages for the period. d. The company collected $2,400 cash as a partial payment for the amount owed by the client in transaction b. e. The company paid $860 cash for this period's cleaning services. Required: Enter the impact of each transaction on individual items of the accounting equation. (Enter decreases to account balances with a minus sign.) Transactions Number a. b. Balance after a and b C. Balance after c d. Balance after d e. Balance after e $ Cash Assets 0 0 0 0 + + + + + + + + + + Accounts Receivable $ 0 0 0 0 = = = = = = = = = Liabilities Accounts Payable $ 0 0 + 0 + 0 + + + + + + + + Common Stock $ 0 0 0 0 - - - - $ Equity Dividends 0 0 0 0 + + + + + + + + + + Revenue $ 0 - 0 0 0 - - Expenses $ 0 0 0 0arrow_forwardHolloway Company earned $9,400 of service revenue on account during Year 1. The company collected $7,990 cash from accounts receivable during Year 1. Required Based on this information alone, determine the following for Holloway Company. (Hint: Record the events in general ledger accounts under an accounting equation before satisfying the requirements.) a. The balance of the accounts receivable that would be reported on the December 31, Year 1, balance sheet. b. The amount of net income that would be reported on the Year 1 income statement. C. The amount of net cash flow from operating activities that would be reported on the Year 1 statement of cash flows. d. The amount of retained earnings that would be reported on the Year 1 balance sheet. Complete this question by entering your answers in the tabs below. Accounting Equation Reg A to D Based on this information alone, determine the following for Holloway Company. (Hint: Record the events in general ledger accounts under an…arrow_forward
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