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Question 2 of 6 > -/1 E View Policies Current Attempt in Progress Barbara Jones opened a law office on July 1, 2020. On July 31, the balance sheet showed Cash $6,000, Accounts Receivable $1,600, Supplies $400. Equipment $6.000. Accounts Payable $4.000. and Owner's Capital $10,000. During August, the following transactions occurred. DONO UN Collected $1.300 of accounts receivable. Paid $2.500 cash on accounts payable. Recognized revenue of $8.700, of which $2.100 is collected in cash and the balance is due in September. Purchased additional equipment for $2.500. paying $500 in cash and the balance on account. Paid salaries $2.200. rent for August $1200, and advertising expenses $450. Withdrew $800 in cash for personal use. Received $1700 from Standard Federal Bank-money borrowed on a note payable. Incurred utility expenses for month on account $370. (a) 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) Assets

Answer 1

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Answer :

							BARGARA JONES ATTORNEY AT LAW
			Assets					=	Liabilities		+	Owner's Equity
	Cash	+	Account Receivable	+	Supplies	+	Equipment	=	Notes Payable	+	Account Payable	+	Owner's Capital	-	Owner's Drawings	+	Revenues	-	Expenses
Bal	$6,000	+	$1,600	+	$400	+	$6,000	=		+	$4,000	+	$10,000	-		+		-
1	$1,300	+	-$1,300	+		+		=		+		+		-		+		-
2	-$2,500	+		+		+		=		+	-$2,500	+		-		+		-
3	$2,100	+	$6,600	+		+		=		+		+		-		+	$8,700	-
4	-$500	+		+		+	$2,500	=		+	$2,000	+		-		+		-
5	-$3,850	+		+		+		=		+		+		-		+		-	$3,850
6	-$800	+		+		+		=		+		+		-	$800	+		-
7	$1,700	+		+		+		=	$1,700	+		+		-		+		-
8		+		+		+		=		+	$370	+		-		+		-	$370
Total	$3,450	+	$6,900	+	$400	+	$8,500	=	$1,700	+	$3,870	+	$10,000	-	$800	+	$8,700	-	$4,220
Total	$19,250							=	$19,250