Question

The following T accounts show transactions that were recorded by Residential Relocators, a firm that specializes in local housing rentals Cash Equipment Accounts Receivable (a) 171,000 (d) 11,000 (g) 1,100 (b) 27, 000 (c) 61,000 (f) 11, 800 (9) 1, 100 (h) 9,100 (i) 3,100 Accounts Payable Supplies Wade Wilson, Capital (c) 61,000 27, 000 (a) 171,000 Telephone Expense Wade Wilson, Drawing ()3,100 Fees Income (d) 11,000 (f) 11,800 Salaries Expense (h)9.100

Answer 1

Solution:

Residential Relocaters
Statement of Owner's Equity
Month Ended December 31, 2019
Particulars		Amount
Wade Wilson capital, Beginning		$171,000.00
Add: Net Income for 2019 ($22,800 - $9,100 - $510)	$13,190.00
Less: Drawings	$3,100.00
		$10,090.00
Wade Wilson capital, Dec 31, 2019		$181,090.00

Residential Relocaters
Balance Sheet
31-Dec-19
Assets	Amount	Liabilities and Owner's Equity	Amount
Cash	$143,390.00	Liabilities:
Equipment	$61,000.00	Accounts payable	$61,000.00
Accounts receivables ($11,800 - $1,100)	$10,700.00	Owner's equity:
Supplies	$27,000.00	Wade Wilson capital	$181,090.00
Total Assets	$242,090.00	Total Liabilities and owner's Equity	$242,090.00