131. Ruiz Company experienced the following events during 2011:
1. Acquired $40,000 cash by issuing common stock
2. Borrowed $10,000 cash from a creditor
3. Provided services to customers for $25,000 cash
4. Paid $18,000 cash for operating expenses
5. Paid a cash dividend of $1,000 to stockholders
6. Purchased equipment with cash, $6,000
Required: a) Show how each of these events affects the accounting equation. Show amounts and increases or decreases, using + for increases and - for decreases and NA for no effect. The first event is done as an example.
b) Calculate the total amount of assets, liabilities, common stock, and retained earnings at the end of the period.
132. At the beginning of 2011, Stewart Company's accounting records had the general ledger accounts and balances shown in the table below. During 2011, the following transactions occurred:
1. received $70,000 cash for providing services to customers
2. paid rent expense, $15,000
3. purchased land for $10,000 cash
4. paid $5,000 on note payable
5. paid operating expenses, $42,000
6. paid cash dividend, $4,000
Required: a) Record the transactions in the appropriate general ledger accounts. Record the amounts of revenue, expense, and dividends in the Retained Earnings column. Provide appropriate titles for these accounts in the last column of the table.
b) What is the amount of total assets as of December 31, 2011?
c) What is the amount of total stockholders' equity as of December 31, 2011?