Lackawanna ACC105 2021 September Module 1 Assignment Latest

ACC105 Principles of Accounting 1

Module 1 Assignment

Complete the following problems and upload them to the assignment turn in area.

PR 1-1A Transactions Obj. 4

On April 1 of the current year, Morgan Jones established a busi to manage rental property. She completed the following transactions during April:

a Opened a business bank account with a deposit of $60,000 in exchange for common stock.

b Purchased office supplies on account, $1,800.

© Received cash from fees earned for managing rental property, $22,300.

d= Paid rent on office and equipment for the month, $7,000.

Paid creditors on account, $1,100.

£ Billed customers for fees earned for managing rental property, $3,600.

g Paid automobile expenses for month, $750, and miscellaneous expenses, $1,000.

h. Paid office salaries, $4,000.

i. Determined that the cost of supplies on hand was $250; therefore. the cost of supplies used was $1.550.

j. Paid dividends, $5,000.

Instructions

1. Indicate the effect of each transaction and the balances after each transaction,

 

 

PR 1-2A Financial statements Obj. &

‘The assets and liabilities of Global Travel Agency on December 31, 20¥5, and its revenue and expenses for the year are as follows:

Accounts payable $ 108,000 Miscellaneous expense $ 19,500

Accounts receivable 539,000 Rentexpense 56,000

cash 200,000 Supplies 6,000

Common stock 575,000 Supplies expense 12,700

Fees eamed 340.000 Utilities expense 34,800

Land 1,500,000 Wages expense 415,000

‘Common stock was $525,000 and retained earnings was $1,250,000 as of January 1, 20¥5. During the year, additional common stock of $50,000 was issued for cash, and dividends of $90,000 were paid.

Instructions

1. Prepare an income statement for the year ended December 31, 20Y5.

2, Prepare a statement of stockholders’ equity for the year ended December 31, 20Y5.

3. Prepare a balance sheet as of December 31, 20VS.

4. What items appears on both the statement of stockholders’ equity and the balance sheet?