Question

OBOOK Transaction Analysis and Financial Statements Just Rolling Along Inc. was organized on May 1 by two college students who recognized an opportunity to make money while spending their days at a beach along Lake Michigan. The two entrepreneurs plan to rent bicycles and in-line skates to weekend visitors to the lakefront. The following transactions occurred during the first month of operations: May 1: Received contribution of $11,500 from each of the two principal owners of the new business in exchange for shares of stock May 1: Purchased ten bicycles for $260 each on an open account. The company has 30 days to pay for the bicycles. May 5: Registered as a vendor with the city and paid the $20 monthly fee. May 9: Purchased 30 pairs of in-line skates at $110 per par, 30 helmets at $45 each, and 30 sets of protective gear (knee and elbow pads and wrist guards) at $40 per set for cash. May 10: Purchased $100 in miscellaneous supples on account. The company has 30 days to pay for the supplies, May 15: Paid $160 bill from local radio station for advertising for the last two weeks of May. May 17: Customers rented in-line skates and bicycles for cash of $1,690. May 24: Billed the local park district $1,100 for in-line skating lessons provided to neighborhood children. The park district is to pay one-half of the bill within five working days and the rest within 30 days. May 29: Received 50% of the amount billed to the park district. May 30: Customers rented in-line skates and bicydes for cash of $2,600. May 30: Paid wages of $180 to a friend who helped over the weekend. May 31: Paid the balance due on the bicycles Required:

Answer 1

XIA 5 2020-09(2) SEP.xlsx - Microsoft Excel ? X FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW DEVELOPER Sign in 01 : х А. N O P Q R S 1 2 3 4 5 6 7 8 9 10 11 12 B с D E F G H K L M Balance sheet Assets Liabilities Stockholder's equity Accounts Accounts Common Retained Cash receivable Equipment Supplies payable stock earnings 23,000 23,000 Common stock (11500*2) 2,600 2,600 Purchase cycle (10*260) 23,000 0 2,600 01 2,600 23,000 0 -20 -20 Misc. Expense (register fees expense) 22,980 0 2,600 0 o 2,600 23,000 -20 -5,850 5,850 Purchase of equipment (30*110)+(30*45)+(30*40)) 17,130 0 8,450 01 2,600 23,000) -20 100 100 17,130 0 8,450 100 2,700 23,000 -20 -160 -160 Advertising Expense 16,970 0 8,450 100 2,700 23,000 -180 1,690 1,690 Rental revenue 18,660 0 8,450 100 2,700 23,000 1,510 1,100 1,100 Service revenue 18,660 1,100 8,450 1001 2,700 23,000 2,6101 550 -550 1100*50% 19,210 550 8,450 100 2,700 23,000 2,610 2,600 2,600 Rental revenue 21,810 550 8,450 100 2,700 23,000 5,210 -180 -180 Wages expense 21,630 550 8,450 1001 2,700 23,000 5,030 -2,600 -2,600 19,0301 550 8,450 100 100 23,000 5,030 13 14 May 1 May 1 Balance May 5 Balance May 9 Balance May 10 Balance May 15 Balance May 17 Balance May 24 Balance May 29 Balance May 30 Balance May 30 Balance May 31 Balance 15 16 17 18 19 20 21 22 23 24 25 26 27 Activate Windows Go to Settings to activate Windows Sheet140 Sheet141 Sheet142 Sheet143 Sheet144 Sheet145 Sheet146 Sheet147 READY CIRCULAR REFERENCES 3 1 + 100% Search the web and Windows O A ENG US 03:48 23-09-20

Company name
Income statement
For the Month ended May 31
Service revenue		$           1,100
Rental revenue (1690+2600)		$           4,290
Total revenue			$            5,390
Expenses:
Wages expense		$               180
Advertising Expense		$               160
Misc. Expense (register fees expense)		$                 20
Total Expenses:			$                360
Net income			$            5,030

Company name
Balance sheet
May 31
Assets
Current assets
Cash		$         19,030
Accounts receivable		$               550
Supplies		$               100
Total Current assets			$          19,680
Property, plant and equipment
Equipment			$            8,450
Total assets			$          28,130
Liabilities and owner's Equity
Current liabilities
Account payable			$                100
Stockholder's equity
Common stock		$         23,000
Retained earnings		$           5,030
Total Stockholder's equity			$          28,030
Total Liab. And stock. Equity			$          28,130