Chapter 2 Homework Template (Fixed)

Student Name: Chan Young Young Lee Class: ACCY 2001_13

M2-4 Classifying Accounts on a Balance Sheet The following are accounts of osa!"ere# Com$an%:  .1/ Accounts "a%a+le CL Correct&  .2/ Accounts ecei)a+le CA Correct&  .3/ uildings NCA Correct&  ./ Cash CA Correct&  ./ Common Stoc S' Correct&  .4/ Land NCA Correct&  .5/ 6erchandise (n)entor% CA Correct&  .7/ (ncome (n come Ta8es Ta8es "a%a+le CL Correct&  .9/ Long!Te L ong!Term rm (n)estments (n)estmen ts NCA Correct&  .10/ Notes "a%a+le .due in three %ears/ NCL Correct&  .11/ Notes ecei)a+le .due in si8 months/ Correct& CA  .12/ "re$aid ent CA Correct&  .13/ etained 'arnings S' Correct&  .1/ Su$$lies CA Correct&  .1/ -tilities "a%a+le CL Correct&  .14/ ages "a%a+le CL Correct& (n the s$ace $ro)ided* classif% each as it would +e re$orted on a +alance sheet, -se:

E2-8 Analyzing the Effects of Transactions in T-Accounts ;ranger Ser)ice Com$an%* (nc,* was organi#ed +% Ted ;ranger and fi)e other in)estors, The following acti)ities occurred during the %ear: a, ecei)ed ui$ment

< 4*940 < 15*900

<

3*000

6e%it Cre*it < 100 < 100

#e&uire(ent 1 ef, eg,

a d

< < <

 CAS7 ! 50*000 < 3*000 <

ef,

2*00 e *00 +

< 44*000 Correct& "TES #ECE0:AB)E ! < 2*00

eg,  <

e

< 2*00 Correct& eg,  <

+

<

E;0+ME"T ! 17*000

< 17*000 Correct& eg,  <

d

<

)A"6 ! 1*000

< 1*000 Correct&

ef,

 "TES +A9AB)E ef, < ! eg, < 13*00 +

< 13*00 Correct&

ef,

 CMM" STC<  < ! < *00 < 100

ef, eg,

a d

< *10 Correct& A660T0"A) +A06-0" CA+0TA) < ! eg, < 4*940 a < 15*900 d

< 72*740 Correct&

#e&uire(ent 2 -sing the +alances in the T!accounts* fill in the following amounts for the accounting e>uation:

< 101*00 13*00 = Stoc,hol*ers> E&uity < 77*000 )ia%ilities < Correct& Correct& Correct& #e&uire(ent  '8$lain %our res$onse to e)ents . c / and .f /, The agreemnt c does not inl)o)e e8change of goods or ser)ice, (ts not a trasaction, Bor trasaction f* onwer got a loan from $ersonal +an and not +usiness, (t has no effect on the +usiness, Assets

en ata "02!0: 6E))! 0"C. Balance Sheet at /e%ruary ! 212 *ollars in (illions5 ASSETS Current Assets Cash Short!term in)estments ecei)a+les and other assets (n)entories Dther Total current assets "ro$ert%* $lant* and e>ui$ment Long!term in)estments Dther non!current assets Total assets )0AB0)0T0ES A"6 STC E;0T9 Current )ia%ilities Accounts $a%a+le Dther short!term o+ligations Total current lia%ilities Long!term Lia+ilities Total lia%ilities Stoc,hol*ers> e&uity Common Stoc .