Question

On the job smith computer center chapter 1

The following problem continue from one chapter to the next, carrying the balances of each month forward.

1 Analyze and record each transaction in the expanded accounting equation.

2. Prepare the financial statements ending July 31 for Smith computer Center.

On July 1, 201x Thad Feldman decided to begin his own computer service business. He named the business Smith computer center. During the first month, Thad conducted the following business transactions.

A. Invested $6000 of his savings into the business.

B. Paid $1800 (Check #8095) for the Computer from A-Teach. Inc.

C. Paid $3300 (Check #8096) for office Equipment from Bertha and Pac Furniture.

D. Set up a new account with The Staple Store and purchased $ 200 in office supplies on credit.

E. Paid July rent, $500(Check#8097

F. Repaired a system for a customer and collected $800

G. Collected $600 for a system upgrade labor charge from a customer.

H. Electric bill due but unpaid $75

I. collected $1800 for services performed on Phil’s Photography computers.

J. Withdrew $175 (Check #8098) to take his wife out.

Continue problem Chapter 3. The following problem continues from Chapter 1.

1 Set up T accounts in a ledger and post the ending balances from chapter 1.

2 record transactions K through S in the appropriate T accounts.

3. Foot and take the balances of the T accounts where appropriate

4. Prepare a trial balance at the end of August.

Answer 1

Chapter-1 Accounting Equation:
	ASSETS			=	LIABILITIES		+	Equity
	Bank	Commuter	Office equipment	=	Accounts Payable	Electricity Bill Payable	+	Common stock	Retained Earnings
Invested capital	$6,000			=			+	$6,000
Purchased computer	-$1,800	$1,800		=			+
Purchased office equipment	-$3,300		$3,300	=			+
Purchased office supplies				=	$200		+		-$200
Rent paid	-$500			=			+		-$500
Services Revenue	$800			=			+		$800
Services Revenue	$600			=			+		$600
Electricity bill due				=		$75	+		-$75
Services Revenue	$1,800			=			+		$1,800
Withdraw for personal use	-$175			=			+	-$175
Total	$3,425	$1,800	$3,300	=	$200	$75	+	$5,825	$2,425

Smith Computer Centre
Balance Sheet for the month ended on July 31
Assets
Current Asset
Cash & Bank	$3,425.00
Total Current Asset		$3,425.00
Property, Plant & Equipment
Computer	1800
Office Equipment	3300	$5,100.00
Total Asset		$8,525.00
Liability & Equity
Current Liabilities
Electiricy bill Payable	$200.00
Salaries Payable	$75.00	$275.00
Owner's Equity
Common Stock	$5,825.00
Retained Eanring	$2,425.00	$8,250.00
Total Liability & Equity		$8,525.00

For Problem Chapter-3 data not provided