Question

The following financial data are for the dental practice of Dr. Donna Wells when she began operations in July. 1. Owes $17,900 to the Allen Equipment Company. 2. Has cash balance of $12,400. 3. Has dental supplies of $3,100. 4. Owes $3,630 to Contemporary Furniture Supply. 5. Has dental equipment of $25,450 6. Has office furniture of $6,900. Determine the amounts that would appear in Dr. Wells' balance sheet. Assets Liabilities Owner's Equity Total

Answer 1

Solution:

Assets		=	Liabilities		+	Stockholder's Equity
Cash	$12,400		Accounts Payable (17900+3630)	$21,530.00
Dental Supplies	$3,100
Dental Equipment	$25,450
Office furniture	$6,900
Total	$47,850			$21,530			$0