Question

On April 1, Barbara Jones established Jones's Travel Agency. The following transactions were completed during the month. 1. 2. 3. 5. 6. 7. B. 9. 10. Invested $16,000 cash to start the agency. Paid $600 cash for April officerent. Purchased equipment for $2,800 cash. Incurred $800 of advertising costs in the Chicago Tribune, on account. Paid $800 cash for office supplies. Performed services worth $11,000: $2,500 cash is received from customers, and the balance of $,400 is billed to customers on account Withdrew $400 cash for personal use. Paid Chicago Tribune 5600 of the amount due in transaction (4) Paid employees' salaries $2,800. Received $5,400 in cash from customers who have previously been bred in transaction (6) (a) Complete the tabular analysis of the transactions. If a transaction results in a decrease in Asset Laites or Owner's guy poc a megative s o parentheses) in front of the amount entered for the particular Asset Liability or Equity that was reduced Sees at T-for example) JONES'S TRAVEL AGENCY - Liabilities Assets Owner's Equity Owner's Accounts Owner's

Answer 1

Answer:

	Assets							=	Liabilities	+	Owner's Equity
	Cash	+	Accounts Receivable	+	Supplies	+	Equipment	=	Accounts Payable	+	Owner's Capital	-	Owner's Drawings	+	Revenues	-	Expenses
1	$16,000	+		+		+		=		+	$16,000	-		+		-
2	($600)	+		+		+		=		+		-		+		-	$600
3	($2,800)	+		+		+	$2,800	=		+		-		+		-
4		+		+		+		=	$800	+		-		+		-	$800
5	($800)	+		+	$800	+		=		+		-		+		-
6	$2,600	+	$8,400	+		+		=		+		-		+	$11,000	-
7	($400)	+		+		+		=		+		-	$400	+		-
8	($600)	+		+		+		=	($600)	+		-		+		-
9	($2,800)	+		+		+		=		+		-		+		-	$2,800
10	$5,400	+	($5,400)	+		+		=		+		-		+		-
Totals	$16,000	+	$3,000	+	$800	+	$2,800	=	$200	+	$16,000	-	$400	+	$11,000	-	$4,200