Question

Susan Wilson opened a law office on July 1, 2020. On July 31, the balance sheet showed Cash $5,400, Accounts Receivable $1,500, Supplies $600, Equipment $5,500, Accounts Payable $3,700, and Owner's Capital $9,300. During August, the following transactions occurred. 1. Collected $1,200 of accounts receivable. 2. Paid $2,900 cash on accounts payable. 3. Recognized revenue of $8.000, of which $3,400 is collected in cash and the balance is due in September, 4. Purchased additional equipment for $2,000, paying $300 in cash and the balance on account. 5. Paid salaries $2,400, rent for August $1,200, and advertising expenses $450. 6. Withdrew $1.100 in cash for personal use. 7. Received $2,000 from Standard Federal Bank-money borrowed on a note payable. 8. Incurred utility expenses for month on account $180. Your answer is partially correct. Prepare a tabular analysis of the August transactions beginning with July 31 balances. (If a transaction results in a decrease in Assets, Liabilities or Owner's Equity, place a negative sign for parentheses) in front of the amount entered for the particular Asset, Liability or Equity item that was reduced. See Illustration 1-8 for example.)

I have to prepare a tabular analysis of the August transaction

Answer 1

Susan Wilson,Attorney at Law Tabular Analysis For the period ending July 31 Owner's Equity Liabilities Assets Cash + Accounts Receivable + Supplies + Equipment = Notes Payable + Accounts Payable + Owner's Capital - Owner's Drawings + Revenue - Expenses Bal. 5400 1500 600 5500 3700 9300 1. 1200 -1200 2 -2900 -2900 %3D 4600 3400 8000 Revenue 4 -300 2000 1700 Salaries expense -4050 2400 1200 Rent Advertising Expense 450 -1100 1100 2000 2000 Utility Expense 180 180 Totals 7500 9300 4230 3650 4900 600 2000 2680 1100 8000 16650 16650

Statement of Income For the period ending July 31 8000 Revenue Less: Salaries expense 2400 1200 Rent Advertising Expense 450 Utility Expense 4230 180 Net Income 3770 Statement of Owner's Equity For the period ending July 31 Susan Wilson, Capital 9300 3770 Net Income 13070 Susan Wilson, Withdrawals -1100 11970 Balance sheet As at July 31 Assets Cash 3650 Accounts Receivable 4900 Supplies 600 Equipment 7500 Total Assets 16650 Liabiliies & Equity Notes Payable Accounts Payable Owner's Capital Total Liabiliies & Equity 2000 2680 11970 16650