WI18ACCT110VO1 Financial Accounting Home My courses W118

WI18.ACCT.110.VO1 - Financial Accounting | Home / My courses / W118.ACCT.110.01 / January 8 - January 14 / Chapter 1 Assignment Dropbox (Graded) Chapter 1 Assignment Dropbox (Graded) Please submit your Chapter 1 Homework Assignment by using the template provided and uploading it to this drop box. Complete the following homework assignment for this module: • Ex 1-5: Accounting Equation (page 36) Ex 1-6: Accounting Equation (page 36) • Ex 1-8: Asset, liability, and stockholders\' equity items (page 37) Ex 1-9: Effect of transactions on accounting equation (page 37). • Ex 1-11: Effect of transactions on stockholders\' equity (page 37) • Ex 1-18: Retained earnings statement (page 39) • Ex 1-19: Income Statement (page 39) . Ex 1-21: Balance sheets, net income (page 40)

Solution

Answer to EX 1-15.

Beginning of the year:

Owners’ Equity = Total Assets - Total Liabilities
Owners’ Equity = $1,220,000 - $990,000
Owners’ Equity = $230,000

End of the year:

Owners’ Equity = Total Assets - Total Liabilities
Owners’ Equity = $1,730,000 - $1,150,000
Owners’ Equity = $580,000

Change in Owners’ Equity = Owners’ Equity, End of the year - Owners’ Equity, Beginning of the year
Change in Owners’ Equity = $580,000 - $230,000
Change in Owners’ Equity = $350,000

Amber:

Net Income = Change in Owners’ Equity
Net Income = $350,000

Blue:

Net Income = Change in Owners’ Equity + Dividends
Net Income = $350,000 + $60,000
Net Income = $410,000

Coral:

Net Income = Change in Owners’ Equity - Additional Common Stock
Net Income = $350,000 - $140,000
Net Income = $210,000

Daffodil:

Net Income = Change in Owners’ Equity - Additional Common Stock + Dividends
Net Income = $350,000 - $140,000 + $60,000
Net Income = $270,000

Answer to EX 1-16 and EX 1-17.

Accounts Receivable - Balance Sheet
Cash - Balance Sheet
Common Stock - Balance Sheet
Fees Earned - Income Statement
Land - Balance Sheet
Supplies - Balance Sheet
Supplies Expense - Income Statement
Utilities Expense - Income Statement
Wages Expense - Income Statement
Wages Payable - Balance Sheet