ANSWER: Bright Futures Company Balance Sheet August 31 Assets Cash $ 3,000 Accounts Receivable 1,500 Supplies 140 Computer Equipment 20,000 Total Assets $ 24,640 Total Liabilities and Equity Owner’s Liabilities: Accounts Payable $ 1,540 Notes Payable 2,400 Total Liabilities $ 3,940 Jason Bright, Capital 20,700 Total Liabilities and Equity $ 24,640 Owner’s Moderate DIFFICULTY: Applying Bloom’s: ACCT.WARD.16.01-05 - 01-05 LEARNING OBJECTIVES: ACCT.ACBSP.APC.09 - Financial Statements ACCREDITING STANDARDS: ACCT.AICPA.FN.03 - Measurement BUSPROG: Analytic The account balances of Awesome Travel Services at December 31 are listed below. There were no additional investments or withdrawals by J. Trendsetter during the year. $12,000 $10,000 Accounts Payable J. Trendsetter, Capital (Jan. 1) 14,000 1,000 Accounts Receivable Supplies 18,000 1,300 Cash Taxes Expense 21,000 8,000 Computer Equipment Utilities Expense 78,000 25,000 Fees Earned Wages Expense 10,000 1,700 Rent Expense Supplies Expense Prepare an income statement, statement of equity, and a balance sheet as of December 31. owner’s ANSWER: Awesome Travel Services Income Statement For the Year Ended December 31 Fees earned $78,000 Operating expenses: Wages expense $25,000 Rent expense 10,000 Utilities expense 8,000 Supplies expense 1,700
ANSWER: Bright Futures Company Balance Sheet August 31 Assets Cash $ 3,000 Accounts Receivable 1,500 Supplies 140 Computer Equipment 20,000 Total Assets $ 24,640 Total Liabilities and Owner’s Equity Liabilities: Accounts Payable $ 1,540 Notes Payable 2,400 Total Liabilities $ 3,940 Jason Bright, Capital 20,700 Total Liabilities and Owner’s Equity $ 24,640 DIFFICULTY: Moderate Bloom’s: Applying LEARNING OBJECTIVES: ACCT.WARD.16.01-05 - 01-05 ACCREDITING STANDARDS: ACCT.ACBSP.APC.09 - Financial Statements ACCT.AICPA.FN.03 - Measurement BUSPROG: Analytic The account balances of Awesome Travel Services at December 31 are listed below. There were no additional investments or withdrawals by J. Trendsetter during the year. Accounts Payable $12,000 J. Trendsetter, Capital (Jan. 1) $10,000 Accounts Receivable 14,000 Supplies 1,000 Cash 18,000 Taxes Expense 1,300 Computer Equipment 21,000 Utilities Expense 8,000 Fees Earned 78,000 Wages Expense 25,000 Rent Expense 10,000 Supplies Expense 1,700 Prepare an income statement, statement of owner’s equity, and a balance sheet as of December 31. ANSWER: Awesome Travel Services Income Statement For the Year Ended December 31 Fees earned $78,000 Operating expenses: Wages expense $25,000 Rent expense 10,000 Utilities expense 8,000 Supplies expense 1,700
Accouting-26th-Edition-Test-Bank.docx