$9.00 Barones Repair Shop was started on May 1 by Nancy Barone. A summary of May transactions is presented below.Found in Business: Accounting
Chapter 1, # 0
Barone’s Repair Shop was started on May 1 by Nancy Barone. A summary of May transactions is presented below.
1. Invested $10,000 cash to start the repair shop.
2. Purchased equipment for $5,000 cash.
3. Paid $400 cash for May office rent.
4. Paid $500 cash for supplies.
5. Incurred $250 of advertising costs in the Beacon News on account.
6. Received $5,100 in cash from customers for repair service.
7. Withdrew $1,000 cash for personal use.
8. Paid part-time employee salaries $2,000.
9. Paid utility bills $140.
10. Provided repair service on account to customers $750.
11. Collected cash of $120 for services billed in transaction (10).
(a) Prepare a tabular analysis of the transactions, using the following column headings: Cash, Accounts Receivable, Supplies, Equipment,Accounts Payable,N. Barone, Capital;N. Barone, Drawings; Revenues, and Expenses.
(b) From an analysis of the owner’s equity columns, compute the net income or net loss for May
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- Posted on Jul 22, 2012 at 2:14:44PM