Question

Background Information: Donald Duck and Friends began operations on January 1, 2017
The following events occurred during the year
1	Provided lawn services on account for $90,000
2	Collected $82,000 cash from accounts receivable
3	Paid Salaries to Mickey for the year of $30,000
4	Adjusted A/R to have an ending balance 0f $1,800 based on percent of Revenue method
a) Complete the accounting equation for the different transactions.
Donald and Friends Company
Accounting Equation
Event		Assets						Equity
		Cash	+	Accounts Receivable	-	Allowance	=	Retained Earnings
1									Service Revenue
2
3									Salaries Expense
4									Uncollectible accounts expense
Total		$            -	+	$             -	-	$              -	=	$            -

Answer 1

Donald and Friends Company
Accounting Equation
Event		Assets						Equity
		Cash	+	Accounts Receivable	-	Allowance	=	Retained Earnings
1				$90,000				$90,000	Service Revenue
2		$82,000		($82,000)
3		($30,000)						($30,000)	Salaries Expense
4						$6,200		($6,200)	Uncollectible accounts expense
Total		$52,000	+	$8,000	-	$6,200	=	$53,800