# Acc 290 Week 2 Assignment

Pages: 4 (510 words) Published: March 26, 2012
Exercise E-4
a) Describe each transaction
1. \$20,000 in cash is invested in exchange for common stock 2. \$5000 in equipment is received, with \$1000 paid in cash, and \$4000 billed through Accounts Payable 3. \$750 cash is paid for supplies

4. \$9500 in services was preformed, with \$4100 paid for in cash, and \$5400 billed through Accounts Receivable 5. \$1500 was paid to Accounts Payable
6. \$2000 was paid in cash in dividends
7. \$800 cash was paid for rent
8. \$450 cash was received for Accounts Receivable 9. \$3000 cash was paid for salaries
10. \$300 was billed through Accounts Payable for Utilities b) Determine how much stockholders’ equity increased for the month a. 9500-2000-800-3000-300-4000+1500-300= \$200
c) Compute the net income for the month
b. 9500-5000-750-1500-800+450-3000-300= -\$1400
Exercise E3-9
Date| Account| Debits| Credits|
May 4| Cash| \$700| |
| Accounts Payable| | \$700|
May 7| Accounts Receivable | \$6800| |
| Performed services| | \$6800|
May 8| Accounts Payable| \$850| |
| Supplies| | \$850|
May 9| Cash| \$1000| |
| Equipment| | \$1000|
May 17| Cash| \$530| |
| Salary| | \$530|
May 22| Accounts Payable| \$900| |
| Maintenance| | \$900|
May 29| Cash| \$1200| |
| Insurance| | \$1200|

Problem 3-5A
Apr. 1 Stockholders invested \$18,000 cash in exchange for common stock of the corporation.

1 Hired a secretary-receptionist at a salary of \$375 per week, payable monthly.

2 Paid office rent for the month \$900.

Purchased architectural supplies from Spring Green Company| 3

10 Completed blueprints on a carport and billed client \$1,900 for services.

20 Received \$2,800 cash for services completed and delivered...