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3 years ago

If an amount box does not require an entry, leave it blank.

Business

1 answer:

Vedmedyk [2.9K]3 years ago

3 0

Answer:

a. Record

Cash $12,500 (debit)

Capital $12,500 (credit)

Inventories $6,250 (debit)

Accounts Payable $6,250 (credit)

Operating expenses $5,500 (debit)

Cash $5,500 (credit)

Accounts Receivables $7,440 (debit)

Revenue $7,440 (credit)

Cash $4,700 (debit)

Revenue $4,700 (credit)

Cash $3,100 (debit)

Accounts Receivables $3,100 (credit)

Capital $1,500 (debit)

Cash $1,500 (credit)

b. Trial Balance

Debit Credit

Cash ($12,500-$5,500-$1,500+$3,100+$4,700) $11,500

Capital ($12,500-$1,500) $11,000

Inventories $6,250

Accounts Payable $6,250

Operating expenses $5,500

Accounts Receivables ($7,440 - $3,100 ) $4,340

Revenue ($7,440+$4,700) $12,140

c. (1) Net Income = $5,140

c. (2) Stockholders' equity = $16,140

Explanation:

c. (1) Net Income

Income = Revenue - Expenses

= $12,140 - $5,500 - $1,500

= $5,140

c. (2) Stockholders' equity

Stockholders' equity = Capital + Income

= $11,000 + $5,140

= $16,140

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Therefore, Work in process is the correct answer.

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3 years ago

g had reported a deferred tax asset of $130 million with no valuation allowance. At December 31, 2021, the account balances of R

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3 years ago

Paper Submarine Manufacturing is investigating a lockbox system to reduce its collection time. It has determined the following:

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3 years ago

Read 2 more answers

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3 years ago

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