Week 2 Unit 1 Additional Question Q1. Helen Lau owns and operates an interior design studio called HL Interiors. The following amounts summarize the financial position of her business on August 31, 20X2: Assets Owner's Equity Accounts Helen Lau, Cash + Receivable + Supplies + Land Payable + Capital = Bal. 2,250 1,500 8,000 7,750 Liabilities + Accounts 12,000 During September 20X2, the following events occurred. a. Helen inherited $20,000 and deposited the cash in the business bank account. b. Performed services for a client and received cash of $700. c. Paid off the beginning balance of accounts payable. d. Purchased supplies on account, $1,000. e. Collected cash from a customer on account, $1,000. f. Invested personal cash of $1,000 in the business. g. Consulted on the interior design of a major office building and billed the client for services rendered, $2,400. h. Recorded the following business expenses for the month: (1) Paid office rent, $900. (2) Paid advertising, $100. i. Sold supplies to another business for $150 cash, which was the cost of the supplies. j. Withdrew cash of $1,100 for personal use. Analyze the effects of the preceding transactions on the accounting equation of HL Interiors. Pls use the attached answer sheet to prepare your answer.
Week 2 Unit 1 Additional Question Q1. Helen Lau owns and operates an interior design studio called HL Interiors. The following amounts summarize the financial position of her business on August 31, 20X2: Assets Owner's Equity Accounts Helen Lau, Cash + Receivable + Supplies + Land Payable + Capital = Bal. 2,250 1,500 8,000 7,750 Liabilities + Accounts 12,000 During September 20X2, the following events occurred. a. Helen inherited $20,000 and deposited the cash in the business bank account. b. Performed services for a client and received cash of $700. c. Paid off the beginning balance of accounts payable. d. Purchased supplies on account, $1,000. e. Collected cash from a customer on account, $1,000. f. Invested personal cash of $1,000 in the business. g. Consulted on the interior design of a major office building and billed the client for services rendered, $2,400. h. Recorded the following business expenses for the month: (1) Paid office rent, $900. (2) Paid advertising, $100. i. Sold supplies to another business for $150 cash, which was the cost of the supplies. j. Withdrew cash of $1,100 for personal use. Analyze the effects of the preceding transactions on the accounting equation of HL Interiors. Pls use the attached answer sheet to prepare your answer.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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The requirement is a T-shaped account format
Transcribed Image Text:Week 2 Unit 1 Additional Question
Q1.
Helen Lau owns and operates an interior design studio called
HL Interiors. The following amounts summarize the financial
position of her business on August 31, 20X2:
Assets
= Liabilities +
Helen Lau,
Owner's Equity
Accounts
Payable
Bal. 2,250 1,500
8,000
7,750
Cash + Receivable + Supplies + Land
+ Capital
During September 20X2, the following events occurred.
a. Helen inherited $20,000 and deposited the cash in the
business bank account.
b. Performed services for a client and received cash of $700.
c. Paid off the beginning balance of accounts payable.
d. Purchased supplies on account, $1,000.
e. Collected cash from a customer on account, $1,000.
f. Invested personal cash of $1,000 in the business.
g. Consulted on the interior design of a major office building
and billed the client for services
rendered, $2,400.
h. Recorded the following business expenses for the month:
(1) Paid office rent, $900.
(2) Paid advertising, $100.
DATE
Bal.
i. Sold supplies to another business for $150 cash, which was
the cost of the supplies.
a)
b)
c)
d)
j. Withdrew cash of $1,100 for personal use.
Analyze the effects of the preceding transactions on the
accounting equation of HL Interiors. Pls use the attached
answer sheet to prepare your answer.
Unit 1 additional question Q1 answer sheet
12,000
ASSETS
CASH
+
2,250
Accounts
HL Interiors
Analysis of Transactions
ACCOUNTS + SUPPLIES
RECEIVABLE
+
1,500
LAND
=
12,000
LIABILITIES OWNER'S
EQUITY
+
ACCOUNTS
PAYABLE
+
8,000
TYPE OF
HELEN
OWNER'S
LAU, EQUITY
CAPITAL TRANSACTION
7,750
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