Ex. 189
For each of the following, indicate whether the transaction affects revenue (R), expense (E), Dividends (D), Common Stock (CS), or no effect on stockholders' equity (NOE).
1.Made an investment to start the business.
2.Billed customers for services performed.
3.Purchased equipment on account.
4.Paid monthly rent.
5.Paid dividends.
Ex. 190
Presented below is a balance sheet for Jim Henson Yard Service at December 31, 2011.
JIM HENSON YARD SERVICE
Balance Sheet
December 31, 2011
AssetsLiabilities and Stockholders' Equity
Cash$13,000Liabilities
Accounts receivable6,000Accounts payable$ 8,000
Supplies9,000Notes payable15,000
Equipment11,000Stockholders' equity
Common stock 16,000
Total assets$39,000Total liabilities & stockholders' equity$39,000
The following additional data are available for the year which began on January 1: All expenses (excluding supplies expense) total $6,000. Supplies on January 1, were $11,000 and $7,000 of supplies were purchased during the year. Net income for the year was $8,000 and dividends paid were $4,000.
Instructions
Determine the following: (Show all computations.)
1.Supplies used during the year.
2.Total expenses for the year.
3.Service revenues for the year.
4.Stockholders' equity on January 1.