On October 1, Ebony Ernst organized Ernst Consulting; on October 3, the owner contributed $84,580 in assets in exchange for its common stock to launch the business. On October 31, the company's records show the following items and amounts. Retained earnings, October 1 as $0. $ 9,390 16,020 3,830 45,980 18,550 9,060 84, 580 Cash Accounts receivable Office supplies Land Office equipment Accounts payable Common stock Cash dividends Consulting revenue Rent expense Salaries expense Telephone expense Miscellaneous expenses $ 2,650 16,020 4,190 7,570 830 650 Exercise 1-17 Preparing a balance sheet LO P2 Using the above information prepare an October 31 balance sheet for Ernst Consulting. ERNST CONSULTING Balance Sheet Assets Cash Accounts payable Accounts receivable Office supplies Total liabilities Equity Office equipment Common stock Retained earnings Land Total equity Total assets 0 Total liabilities and equity 2$
On October 1, Ebony Ernst organized Ernst Consulting; on October 3, the owner contributed $84,580 in assets in exchange for its common stock to launch the business. On October 31, the company's records show the following items and amounts. Retained earnings, October 1 as $0. $ 9,390 16,020 3,830 45,980 18,550 9,060 84, 580 Cash Accounts receivable Office supplies Land Office equipment Accounts payable Common stock Cash dividends Consulting revenue Rent expense Salaries expense Telephone expense Miscellaneous expenses $ 2,650 16,020 4,190 7,570 830 650 Exercise 1-17 Preparing a balance sheet LO P2 Using the above information prepare an October 31 balance sheet for Ernst Consulting. ERNST CONSULTING Balance Sheet Assets Cash Accounts payable Accounts receivable Office supplies Total liabilities Equity Office equipment Common stock Retained earnings Land Total equity Total assets 0 Total liabilities and equity 2$
Financial Accounting
15th Edition
ISBN:9781337272124
Author:Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:Carl Warren, James M. Reeve, Jonathan Duchac
Chapter15: Investments And Fair Value Accounting
Section: Chapter Questions
Problem 3PA: Forte Inc. produces and sells theater set designs and costumes. The company began operations on...
Related questions
Question
![Required information
Use the following information for exercise 15 to 18 LO P2
[The following information applies to the questions displayed below.]
On October 1, Ebony Ernst organized Ernst Consulting; on October 3, the owner contributed $84,580 in assets in
exchange for its common stock to launch the business. On October 31, the company's records show the following items
and amounts. Retained earnings, October 1 as $0.
$ 9,390
16,020
3,830
45,980
18,550
9,060
84,580
Cash
Accounts receivable
Office supplies
Cash dividends
Consulting revenue
Rent expense
Salaries expense
Telephone expense
Miscellaneous expenses
$ 2,650
16,020
4,190
Land
Office equipment
Accounts payable
7,570
830
650
Common stock
Exercise 1-17 Preparing a balance sheet LO P2
Using the above information prepare an October 31 balance sheet for Ernst Consulting.
ERNST CONSULTING
Balance Sheet
Assets
Cash
Accounts payable
Accounts receivable
Office supplies
Total liabilities
Equity
Office equipment
Common stock
Retained earnings
Land
Total assets
Total equity
O Total liabilities and equity
24](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F57bab7ca-7707-4175-9d89-135a9fbdb48d%2Fbed4f418-87d7-4f5d-ab15-a9f269e6f31b%2Fxjvzez9_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Required information
Use the following information for exercise 15 to 18 LO P2
[The following information applies to the questions displayed below.]
On October 1, Ebony Ernst organized Ernst Consulting; on October 3, the owner contributed $84,580 in assets in
exchange for its common stock to launch the business. On October 31, the company's records show the following items
and amounts. Retained earnings, October 1 as $0.
$ 9,390
16,020
3,830
45,980
18,550
9,060
84,580
Cash
Accounts receivable
Office supplies
Cash dividends
Consulting revenue
Rent expense
Salaries expense
Telephone expense
Miscellaneous expenses
$ 2,650
16,020
4,190
Land
Office equipment
Accounts payable
7,570
830
650
Common stock
Exercise 1-17 Preparing a balance sheet LO P2
Using the above information prepare an October 31 balance sheet for Ernst Consulting.
ERNST CONSULTING
Balance Sheet
Assets
Cash
Accounts payable
Accounts receivable
Office supplies
Total liabilities
Equity
Office equipment
Common stock
Retained earnings
Land
Total assets
Total equity
O Total liabilities and equity
24
Expert Solution
Step 1
|
ERNST CONSULTING |
||
|
Revenue |
|
|
|
Consulting Revenue |
$16,020 |
|
|
|
|
|
|
Total revenue |
|
$16,020 |
|
|
|
|
|
Expenses |
|
|
|
Rent expense |
4190 |
|
|
Salaries expense |
7570 |
|
|
Telephone expense |
830 |
|
|
Miscellaneous expense |
650 |
|
|
Total expenses |
|
13,240 |
|
|
|
|
|
Net Income |
|
$2780 |
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Financial Accounting
Accounting
ISBN:
9781337272124
Author:
Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Financial And Managerial Accounting
Accounting
ISBN:
9781337902663
Author:
WARREN, Carl S.
Publisher:
Cengage Learning,
Financial Accounting
Accounting
ISBN:
9781337272124
Author:
Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Financial And Managerial Accounting
Accounting
ISBN:
9781337902663
Author:
WARREN, Carl S.
Publisher:
Cengage Learning,
Individual Income Taxes
Accounting
ISBN:
9780357109731
Author:
Hoffman
Publisher:
CENGAGE LEARNING - CONSIGNMENT
College Accounting, Chapters 1-27
Accounting
ISBN:
9781337794756
Author:
HEINTZ, James A.
Publisher:
Cengage Learning,