I Do Example IP1 Template I Docs Categories Assets Liabiliti

Question

I Do Example Ip1templatei Docategoriesassetsliabilitiesowners Equ I Do" Example IP1 Template I DO Categories Assets = Liabilities + Owner's Equity Balance Check Accounts Accounts Accounts Notes IN OUT Service Expense Total Total Date Cash + Receivable + Supplies/Inventory + Equipment = Payable + Payable + Capital - Drawing + Revenue - Expenses Titles Assets Liab + Equity Difference 1-Dec 3,,000 = 18,,, balance 3,,000 = - - 18,,, = - - 0 balance 2,,000 = - - 18,,,) - = - - - - - (500) rent ( balance 1,,000 = - - 18,,,,200 = 1,,, bal 1,,200 = 1,,,, = bal 2,,200 = 1,,,, = bal 2,,200 = 1,,,,) = - - 0 bal 2,,200 = 1,,,,) = (125) salaries ( bal 2,,200 = 1,,,, = - bal 3,,200 = 1,,,,,) = ( bal 3,,200 = ,,,,) = - ( bal 2,,200 = ,,,, - = - - - - - = Net Income = Revenue minus Expenses a. Dec. 1Worthy invested $3,000 cash and $15,000 of equipment in Expressions. b. Dec. 2Expressions paid $600 cash for supplies for the shop. Revenue c. Dec. 3Expressions paid $500 cash to rent space in a strip mall for December. minus Expense d. Dec. 4Purchased $1,200 of equipment on credit (recorded as accounts payable). = Net Income e. Dec. 15Expressions opened for business on December 5. Cash received from haircutting services in the first week and a half of business (ended December 15) was $825. f. Dec. 16Expressions provided $100 of haircutting services on credit. g. Dec. 17Expressions received a $100 check for services previously rendered on credit. h. Dec. 18Expressions paid $125 cash to an assistant for hours worked for the grand opening. i. Dec. 31Cash received from services provided during the second half of December was $930. j. Dec. 31Expressions paid $400 cash toward the accounts payable from December 4. k. Dec. 31Worthy made a $900 cash withdrawal from Expressions for personal use. "We Do" Example IP1 Template WE DO Assets = Liabilities + Owner's Equity Balance Check Accounts Accounts Notes Service Expense Total Total Date Cash + Receivable + Supplies + Equipment = Payable + Payabl

Dr. Jack HW Helper · Accepted Answer

The provided documents exemplify basic accounting procedures and financial statement preparations through "I Do", "We Do", and "You Do" exercises. These exercises serve as foundational tools for understanding how transactions influence a company's financial position, utilizing the fundamental accounting equation: Assets = Liabilities + Owner's Equity. In the initial "I Do" example, detailed journal entries, ledger balances, and trial balances illustrate the process of recording transactions such as investments, expenses, revenues, and withdrawals. For instance, Worthy's investment of $3,000 cash and equipment exemplifies the increase in both assets and owner's equity, demonstrating double-entry bookkeeping principles. Transactions like paying $600 for supplies or paying rent of $500 are recorded as decreases in cash and increases in respective expense accounts, ultimately impacting net income. The "We Do" section progresses to more comprehensive scenarios, including company purchases of equipment, receipt of loans, billing customers, and services rendered on cash and credit bases. These exercises emphasize how each transaction affects the accounting equation: assets increase with investments and receivables, while liabilities increase with credit purchases and loans. Revenue transactions, such as providing services for cash and on account, increase owner’s equity through retained earnings, which are derived after deducting expenses from total revenue. In the "You Do" exercises, the structure reinforces understanding through independent practice, prompting learners to record and analyze transactions such as an owner’s investment, rent payments, supplies purchases, service revenues, and owner withdrawals. These transactions ultimately influence the equation's balance, illustrating the interconnected nature of financial activities. Overall, these exercises underscore the importance of accurate recording and balancing of accounts to produce reliable financial statements

I Do Example IP1 Template I Docs Categories Assets Liabiliti

I Do Example Ip1templatei Docategoriesassetsliabilitiesowners Equ

Paper For Above instruction

References

I Do Example Ip1templatei Docategoriesassetsliabilitiesowners Equ

Paper For Above instruction

References

Related Assignments