Question

E2-12 (Algo) Inferring Investing and Financing Transactions and Preparing a Balance Sheet LO2-4, 2-5 During its first month of operations in March, Volz Cleaning, Inc., completed six transactions with the dollar effects indicated in the following schedule: Ending Balance Dollar Effect of Each of the Six Transactions 1 2 3 4 5 6 $50,000 $(9,000) $(4,100) $(8,000) $ 2,000 $(5,000) 8,000 (2,000) 4,100 Accounts Cash Investments (short-term) Notes receivable (due in six months) Computer equipment Delivery truck Notes payable (due in 10 years) Common stock (2,500 shares) Additional paid-in capital 5,000 21,000 12,000 5,000 45,000

Answer 1

Volz Cleaning Inc

balance Sheet

March 31

Assets		Liabilities
Current assets		Labilities
Cash	25900	Notes payable	12000
Investment	6000
Notes receivable	4100
Total Current assets	36000	Total liabilities	12000
Non Current assets		Stockholder's equity
Delivery truck	21000	Common Stock	5000
Office equipment	5000	Additional paid in capital	45000
Total Non Current assets	26000	Total Stockholder's equity	50000
Total assets	62000	Total liabilities and stockholder's equity	62000