Question

J. West, Withdrawals Jill Martin of Regina opened Martin's Catering Service. As her accountant, ana. lyze the transactions listed below and present in proper form: 1. The analysis of the transactions by utilizing the expanded accounting equation 2. A balance sheet showing the position of the firm before opening on November 1, 2019 3. An income statement for the month of November 4. A statement of owner's equity for November 5. A balance sheet as of November 30, 2019 2019 Oct. 28 Jill Martin invested $8,000 in the catering business from her personal savings account. 29 Bought equipment for cash from Munroe Co., $900. 30 Bought additional equipment on account from Ryan Co., $1,800. 31 Paid $1,000 to Ryan Co. as partial payment of the October 30 trans- action (You should now prepare your balance sheet as of October 31, 2019.) Nov. 1 Catered a graduation and immediately collected cash, $2,900. 4 Paid salaries of employees, $720. 8 Prepared desserts for customers on account, $300. 11 Received $100 cash as partial payment of November 8 transaction. 15 Paid telephone bill, $75. 18 Jill paid her home electricity bill from the company's bank account, $90. 19 Catered a wedding and received cash, $1,800. 25 Bought additional equipment on account, $400. 28 Rent expense due but not yet paid, $600. 29 Paid supplies expense, $400.

Answer 1

Ans 1.

Accounting Equation =

Assets = Liabilities + Owner's Equity

Date	Calculation / Particulars	Assets	Liabilities	Owner's Equity
28 Oct	Business Started	Bank $ 8,000		Capital $ 8,000
29 Oct	Equipment Purchased	Equipment $ 900		Capital $ 900
30 Oct	Additional Equipment Purchased	Equipment $ 1800	Ryan Co. $ 1800
31 Oct	Payment To Ryan Co.	Bank/ Cash $ (1000)	Ryan Co. $ (1000)
Total		$ 9,700	$ 800	$ 8,900

Assets = $ 9,700

Liabilities = $ 800

Owner's Equity = $ 8,900

2.

Balance Sheet As At 31/10/2019

Liabilities	Amount in $	Assets	Amount in $
Capital	8,900	Equipment	2,700
Ryan & Co	800	Bank Balance	7,000
	9,700		9,700

3.

Profit & Loss A/c For The Month Ending On 30/11/2019

Particulars	Amount in $	Particulars	Amount in $
To Salaries	720	By Gross Receipts	5,000
To Telephone Bill	75	(2,900+300+1,800)
To Rent Expense	600
To Supplies Expenses	400
To Net Profit	3,205

4.

Owner's Equity Statement

Particulars	Calculations	Amount in $
Opening Balance	-	8,900
Profit Earned	-	3,205
Personal Expense Paid	-	(90)
Closing Capital		12,015