Question

22.50 Ro Pu 1 est n c hected cash and the t for 12.000 100 cash and the 1.000 and 350 3 2.000 de oro AD

Answer 1

Accounting Equation:

	Assets							=	Liabilities			+	Owner's Equity
	Cash	+	Accounts Receivable	+	Supplies	+	Equipment	=	Notes Payable	+	Accounts Payable	+	Owner's Capital	-	Owner's Drawings	+	Revenues	-	Expenses
Bal.	$5,500		$1,800		$500		$6,200				$4,200		$9,800
1	$1,500		($1,500)
2	($2,500)										($2,500)
3	$1,700		$5,700														$7,400
4	($300)						$2,000				$1,700
5	($3,950)																		$3,950
6	($1,100)														$1,100
7	$1,700								$1,700
8											$330								$330
Total	$2,550		$6,000		$500		$8,200		$1,700		$3,730		$9,800		$1,100		$7,400		$4,280

Income Statement:

SHARON LEE, ATTORNEY AT LAW
Income Statement
For the Month ended August 31,2020
Revenues:
Service revenue		$7,400
Expenses:
Salaries and wages expense	$2,600
Rent expense	$1,000
Advertising expense	$350
Utilities expense	$330
Total expenses		$4,280
Net income/(Loss)		$3,120

Statement of Owner's equity:

SHARON LEE, ATTORNEY AT LAW
Owner's Equity Statement
For the Month ended August 31,2020
Owner's capital, July 31	$9,800
Add: Net income / (loss)	$3,120
	$12,920
Less: Drawings	($1,100)
Owner's capital, August 31	$11,820

Balance Sheet:

SHARON LEE, ATTORNEY AT LAW
Balance Sheet
For the Month ended August 31,2020
Assets
Cash	$2,550
Accounts receivable	$6,000
Supplies	$500
Equipment	$8,200
Total Assets	$17,250
Liabilities and Owner's Equity
Liabilities:
Accounts payable	$3,730
Notes payable	$1,700
Total Liabilities	$5,430
Owner's equity:
Owner's Capital	$11,820
Total liabilities and owner's equity	$17,250