Problem 1: At the end of august 20xx, the sheri alexander, capital account had a balance of $74,600. After operating during Sept.,her Moon Valley Riding had the following account balances:
Cash 17,400 Buildings 60,000 Accounts Receivable 2,400
Horses 20,000 Supplies 2,000 Accounts Payable 35,600
Land 42,000
In addition, the following transactions affected owner's equity:
Withdrawal by Sheri Alexander 6,400 Salaries expense 4,600
Investment by Sheri Alexander 32,000 Feed expense 2,000
Riding lessons 12,400 Utilities expense 1,200
Locker rental expense 3,400
Prepare an income statement, a statement of owner's equity, and a balance sheet for the Moon Valley Riding Club. (Hint: The final Balance for Sheri alexanders Capital is $108,200.
Problem 2: Arrow Copying service began operations and engaged in the following transactions during August 200xx:
a. Investment by owner $10,000
b. paid current months rent 900
c. purchased copier for cash 5,000
d. paid cash for paper and other copier supplies 380
e. copying job payments received in cash 1,780
f. copying job billed to major customer 1,360
g. paid wages to part-time employees 560
h. purchased additional copier supplies on credit 280
i. received partial payment from customer in transaction (f) 600
j. paid current months utility bill 180
k.made partial payment on transaction (h) 140
l. withdrawal cash for personal use 1,400
I must arrange the asset, liability, and owner's equity accounts in an equation , using these accounts titles: Cash, accounts payable, accounts receivable, supplies, copier and M. Lomax, Capital. Then I must show addition and subtraction signs and the new balances after each transaction, and identify each owners equity transactions and type. There should be an owners equity, income statement, a staement of cash flows, and a balance sheet for Arrow Copying Service.