ASSETS
CASH
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-
ACCOUNTS
RECEIVABLE
+
-
LAND
+
BUILDING
-
+
-
TOOLS & EQUIP.
+
-
LIABILITIES
ACCOUNTS
NOTES
PAYABLE
PAYABLE
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+
Electronics Repair Service
Electronics Repair Service’s transactions during February were as follows:
Feb. 10
Feb. 11
Feb. 13
Feb. 15
Feb. 18
Feb. 20
Feb. 22
Feb. 23
Feb. 28
Peter Smith started the business by depositing $100,000 received from the sale of capital stock in a company bank account.
Purchased land for $50,000, paying cash.
Purchased a building for $40,000, paying $10,000 in cash and issuing a note payable for the remaining $30,000.
Purchased tools and equipment on account, $16,000.
Sold some of the tools at a price equal to their cost, $2,000, collectible within 30 days.
Received $500 in partial collection of the account receivable from the sale of tools.
Paid $2,000 in partial payment of an account payable.
Recorded $3,000 of sales revenue received in cash.
Paid $1,500 of operating expenses in cash - $700 for utilities and $800 for wages.
OWNERS’ EQUITIES
RETAINED
CAPITAL
EARNINGS
+
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