On July 1, 2019, Pat Glenn established Half Moon Realty. Pat completed the following transactions during the month of July.

A. Opened a business bank account with a deposit of $25,000 from personal funds.
B. Purchased office supplies on account, $1,850.
C. Paid creditor on account, $1,200.
D. Earned sales commissions, receiving cash, $41,500.
E. Paid rent on office and equipment for the month, $3,600.
F. Withdrew cash for personal use, $4,000.
G. Paid automobile expenses (including rental charge) for the month, $3,050, and miscellaneous expenses, $1,600.
H. Paid office salaries, $5,000.
I. Determined that the cost of supplies on hand was $950; therefore, the cost of supplies used was $900.

Required:
Indicate the effect of each transaction and the balances after each transaction, using the tabular headings in the exhibit below. In each transaction row (rows indicated by a letter), you must indicate the math sign (+ or -) in columns affected by the transaction. You will not need to enter math signs in the balance rows (rows indicated by Bal.). Entries of 0 (zero) are not required and will be cleared if entered.

Respuesta :

Answer:

              Asset        =     Liabilities        +         Owner's Equity

 a          Cash =                                                 Pat Glenn

            + 25,000=                                           + 25,000

b            Cash +   Office Supplies =    Accounts Payable

              + 1850              = + 1850

New

Balance  25000 + 1850=   + 1850

                      2650                =         + 1850                          25000            

                                                                    2650

c.          Cash+ Office Supplies =    Accounts Payable

          25000  - 1200 + 1850 =      -1200    + 1850        +  25000    

                       25650                  =                   25650

d.       Commission+Cash+ Office Supplies =  Accounts Payable      Revenue                

        + 41,500  + 23800 + 1850=         650                   +  25000  + 41,500                        

               65300 + 1850   =   650                   +  25000  + 41,500

                         67150                  =               67150

e.       Rent +Cash+ Office Supplies =  Accounts Payable+ OE + R    - E        

         - 3600 +65300 + 1850      =     650   +  25000  + 41,500     - 3600                            

                61700  + 1850      =   650  +  25000  + 41,500     - 3600

                   63550               =           63550

f.         Cash  +Office Supplies =  Accounts Payable+ OE + R    - E            

         - 4000+ 61700  + 1850= 650  +  25000( -4000)   + 41,500     - 3600

                 59550                   = 59550

g.           Cash  +Office Supplies =  Accounts Payable+ OE + R    - E                        

          -7050  + 61700  + 1850   =     650  +  25000( -4000)   + 41,500 -6650                                    

        -8650   + 61700  + 1850 =       650  +  25000( -4000)   + 41,500   -8250

                             54900=         54900

h.        Cash  +Office Supplies =  Accounts Payable+ OE + R    - E    

     - 13650  + 61700  + 1850=   650  +  25000( -4000)   + 41,500   -13250      

                   49,900=                                   49,900

where

OE= Owner's Equity = $ 25000

Drawings are subtracted from OE= 25000- 4000

R= Revenues

E= Expenses