Solution Accounting 1 2 Transaction Analysis Pptx Studypool

Solution Accounting 1 2 Transaction Analysis Pptx Studypool Chapter 2 3 1. using accounts to record transactions chapter 2 4 1. using accounts to record transactions accounting systems are designed to show the changes in each accounting equation element as a separate record. this record is called an account. an account (simplest form) has three parts t account 1. a title, which is the name of the. Purchased equipment on account, p11,500 b. withdrew p6,000 for personal use c. paid p10,000 of the accounts payable. d. cash receipts for the month totaled p65,000 for services rendered e. expenses paid for the month totaled p24,000. f. shop supplies worth p4,500 was used during the month. required: indicate the effects of the above transaction.

Solution Transaction Analysis Accounting Answer Guide Studypool The following are transactions of sha warm a spa for the month of june 2017 june 1 mr. sha deposited 300,000 under the name of sha warm a spa 3 paid the rent for the month to shaitzu realty 20,000 5 received 15,000 check from mrs. swedish for a spa services rendered. 8 received 50,000 from mrs. ventoza for a spa party held yesterday. 9 paid. Transaction 1: issues $20,000 shares of common stock for cash. analysis: looking at the accounting equation, we know cash is an asset and common stock is stockholder’s equity. when a company collects cash, this will increase assets because cash is coming into the business. when a company issues common stock, this will increase a stockholder. 1) buy inventory on credit for $2,000. 2) pay regular salary of $300 to an employee for work done during the past week; no amount had previously been recorded. 3) borrow $9,000 in cash from bank by signing a loan agreement. 4) make a sale of the inventory bought in (1) to a customer for $5,000 on credit. 1.2 identify users of accounting information and how they apply information; 1.3 describe typical accounting activities and the role accountants play in identifying, recording, and reporting financial activities; 1.4 explain why accounting is important to business stakeholders.