land for cash (increase land and decrease cash). b) Paid amount due a creditor (decrease cash‚ decrease accounts payable). c) 1. Owner withdrew cash (decrease cash‚ decrease owner’s capital). 2. Paid rent (decrease cash‚ decrease owner’s capital). 3. Reflected supplies expense (decrease supplies on hand‚ decrease owner’s capital). d) Borrowed money from a bank (increase cash‚ increase notes payable). Q2 a) b) c) d) e) f) g) No effect Decrease Decrease No effect Increase Increase Increase Q3 Use accounting
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organization issued shares of stock to stockholders for $20‚000 cash 2. The organization bought $5‚000 machines on account with $1‚000 paid in cash accruing a balance of $4‚000 3. The organization paid $750 for materials 4. The organization receives $4‚100 of cash in return for services provided‚ together with charging $5‚400 from 5. The organization paid $1‚500 with cash on accounts payable. 6. The organization paid a $2‚000 dividend. 7. The organization paid $800 for this month rent. 8. The organization
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the liability account Loan Payable. May 5 Provided $1‚000 of services to Jason Ratchford‚ a client‚ on account. $1‚000 The asset‚ Accounts Receivable (representing amounts due from customers for work already rendered)‚ is increased‚ which is matched with an increase in Revenues‚ Income‚ and Equity. May 9 Paid $1‚250 of salaries to an employee. $1‚250 Cash is decreased‚ as is Income/Equity via the recording of Wages Expense. May 14 Acquired a new computer for $4‚200‚ on account. $4‚200 Supplies
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Problem #12 Journal Merchandising Date | Accounts Title & Explanations | Debit | Credit | April 3 | Purchase | 75‚000 | | | Accounts Payable | | 75‚000 | | Purchased lounge chairs terms 1/10‚ n30 | | | | | | | 7 | Accounts Receivable | 19‚200 | | | Sales | | 19‚200 | | Sold chairs terms 2/10‚ n/30 | | | | | | | 8 | Purchase | 24‚000 | | | Accounts Payable | | 24‚000 | | Purchased patio umbrella terms 1/10‚
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BE8-1 Presented below are three receivables transactions. Indicate whether these receivables are reported as accounts receivable‚ notes receivable‚ or other receivables on a balance sheet. | (a) | Sold merchandise on account for $64‚000 to a customer. | | (b) | Received a promissory note of $57‚000 for services performed. | | (c) | Advanced $10‚000 to an employee.a. accounts receivableb. notes receivablec. other receivables | | BE9-1 The following expenditures were incurred
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employed for the verification of accounts payable because A. Evidence supporting accrued liabilities is nonexistent‚ whereas evidence supporting accounts payable is readily available. B. Accrued liability balances are less material than accounts payable balances. C. Accrued liabilities usually pertain to services of a continuing nature whereas accounts payable are the result of completed transactions. D. Accrued liabilities at year end will become accounts payable during the following year. 4 A
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the last 4 years: 2010‚ 2009‚ 2008‚ and 2007. This portion of the McDonalds essay will cover the company’s account amounts for the 2 most recent year end reporting period which are 2010 and 2009. This report will cover the actual numbers from McDonald’s Corp balance sheet. The balance sheet lists each individual account that applies as a liability account. Accounts payable‚ notes payable‚ short term debt‚ accrued liabilities‚ and other current liabilities added together will give you the actual
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Audit of the Acquisition and Payment Cycle: Tests of Controls‚ Substantive Tests of Transactions‚ and Accounts Payable. Chapter 19 ©2008 Prentice Hall Business Publishing‚ Auditing 12/e‚ Arens/Beasley/Elder 19 - 1 Learning Objective 1 Identify the accounts and the classes of transactions in the acquisition and payment cycle. ©2008 Prentice Hall Business Publishing‚ Auditing 12/e‚ Arens/Beasley/Elder 19 - 2 Transactions in the Acquisition and Payment Cycle 1. Acquisitions
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cost principle c. the stable-monetary unit concept d. the reliability principle 2. Wendy Craven has $13‚000 of equity in the business. Assets | = | Liabilities | + | Owner’s Equity | | | | | | | | Accounts | | Craven‚ | Cash + Furniture | = | Payable | + | Capital | | | | | | $6‚000 + $12‚000 | = | $5‚000 | + | $13‚000 | (5 min.) S 1-7 | Assets | = | Liabilities + Owner’s Equity | | | | | | | | | | | | | | Cash
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Faculty of Business Studies BE-210 TMA-1 DUE DATE 26th December Part A: Essay Questions (25) 1. Define accounting. Accounting is the information system that measures business activity‚ progress the data into reports and communicates the results to decision makers. And accounting is the language of business. The better you understand the language of business the better you can manage your own business. For example‚ how will you decide whether or not to borrow money? You
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