Crane Enterprises had the following selected transactions. 1. 2. 3. 4. (a) Indicate the effect each transaction has on the accounting equation, using plus and minus signs. 1. N 2. Bo Crane invested $4,400 cash in the business. Paid office rent of $1,045. Performed consulting services and billed a client $5,720. Bo Crane withdrew $825 cash for personal use. 3. Assets > II Liabilities + Owner's Equity ✓ (Investment) ✓ (Expense) ✓ (Revenue)

Crane Enterprises had the following selected transactions. 1. 2. 3. 4. (a) Indicate the effect each transaction has on the accounting equation, using plus and minus signs. 1. N 2. Bo Crane invested $4,400 cash in the business. Paid office rent of $1,045. Performed consulting services and billed a client $5,720. Bo Crane withdrew $825 cash for personal use. 3. Assets > II Liabilities + Owner's Equity ✓ (Investment) ✓ (Expense) ✓ (Revenue)

Name: Journalize each transaction. (List all debit entries before credit en
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Description: Journalize each transaction. (List all debit entries before credit entries. Credit account titles are automatically indented when amount isentered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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1. Record the effect of the following transactions on the accounting equation using a table similar tothe example.a. Owen inherited $20,000 and invested the cash in the business.b. Performed services for a client and received cash of $700.c. Purchased supplies on account, $1,000d. Invested personal cash of $1,000 in the business.e. Performed services to clients and received cash of $2,400f. Paid office rent expenses, $ 900 and advertising expense $100.g. Withdrew cash of $1,800 for personal use. Prepare Income Statement and Balance Sheet.
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Activity: Following are the accounting transactions relating to Mr. P’s business. Use the accounting equation to show their effect on his assets, liabilities and capital. Purchased goods from A on credit 5,000 Sold goods for cash 10,000 Paid to A 2,000 Sold goods to B on credit 3,000 Paid into Bank 6,000 Paid to A by cheque 1,000 Received from B a cheque for 2,000
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