At the beginning of 2010, Gonzales Company's accounting records had the general ledger accounts and balances shown in the table below. During 2010, the following transactions occurred:
1. received $80,000 cash for providing services to customers
2. paid rent expense, $10,000
3. purchased land for $9,000 cash
4. paid $5,000 on note payable
5. paid operating expenses, $52,000
6. paid cash dividend, $6,000
Required:
1) Record the transactions in the appropriate general ledger accounts. Record the amounts of revenue, expense, and dividends in the Retained Earnings column, providing appropriate titles for these accounts in the last column of the table.
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Gonzales Company
Accounting Equation
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Event
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Assets
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=
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Liabilities
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+
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Stockholders' Equity
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Acct. Titles for RE
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Cash
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Land
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Notes Payable
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Common Stock
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Retained Earnings
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Balance 1/1/10
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$16,000
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$40,000
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$10,000
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$32,000
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$14,000
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1
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2
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3
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4
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5
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6
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2) What is the amount of total assets as of December 31, 2010?
3) What is the amount of total stockholders' equity as of December 31, 2010?