Question

Turner Engineering completed the following transactions in the month of June. Using the following transactions, record journal entries, create financial statements, and assess the impact of each transaction on the financial statements. 1 Tony Turner, the owner, invested $144,000 cash, office equipment with a value of $16,000, and $82,000 of drafting equipment to launch the company. 2 The company purchased land worth $60,000 for an office by paying $21,700 cash and signing a long-term note payable for $38,300. 3 The company purchased a portable building with $44,000 cash and moved it onto the land acquired on June 2. 4 The company paid $9,600 cash for the premium on an 18-month insurance policy. 5 The company completed and delivered a set of plans for a client and collected $15,000 cash. 6 The company purehased $33,200 of additional drafting equipnent by paying $20,500 cash and signing a long-tern note payable for $12,700. 7 The company completed $31,600 of engineering services for a client. This amount is to be received in 30 days. 8 The company purchased $2,250 of additional oftice equipment on credit. 9 The company completed engineering services for $26,400 on credit. Jun. Jun. Jun. Jun. Jun. Jun. Jun. Jun. Jun. Jun. 10 The company received a bill for rent of equipment that was used on a recently completed job. The $2,400 rent Cost must be paid within 30 days. Jun. 12 The company collected $15,800 cash in partial payment from the elient billed on June 9. Jun. 14 The company paid $2,000 cash for wagen to a drafting assistant. Jun. 17 The company paid $2,250 cash to settle the account payable ereated in on June 8. Jun. 20 The company paid $1,475 cash for minor maintenance of its drafting equipment. Jun. 23 Tony Turner withdrew $9,920 cash from the company for personal use. Jun. 28 The company paid $2,000 cash for wages to a drafting assistant. Jun. 29 The company paid $3,380 cash for advertisements on the web during June. St Owners Equity Impact on Equity Income Statement General Journal General Balance Sheet Trial Balance Requirement Ledger While the balance sheet reports the detail of individual assets and liabilities, owner's equity is reported in total. The expanded accounting equation shows the four subsets of equity: Revenues, Expenses, Owner investments and Owner withdrawals. Using the dropdown buttons, indicate the impact each transaction has on total equity (if any). Compare the total with the amount of equity reported on the balance sheet. Show less a Impact on Equity Transaction Tony Turner, the owner, invested $144.000 cash, office equipment with a value of $16,000, and $82,000 of drafting equipment to launch the company 2 of 3 < Prev Next>

Answer 1

Answer:

Transaction	Impact on Equity
	Tony Turner, capital increases	$242,000

Calculations:

Impact on equity
Owner investments:
Cash	$144,000
Office equipment	$16,000
Drafting equipment	$82,000
Increase in Tony Turner, Capital	$242,000