Lawson Consulting, which began operations on December 1, had the following accounts and amounts on December 31. The I. Lawson, Capital account balance at December 1 was $0 and the owner invested...


Lawson Consulting, which began operations on December 1, had the following accounts and amounts on December<br>31. The I. Lawson, Capital account balance at December 1 was $0 and the owner invested $15,050 cash in the company on<br>December 2. On December 31, the company's accounts and amounts for the month of December are shown in the table<br>below:<br>$ 7,500 I. Lawson, Withdrawals<br>5,000 Services revenue<br>7,000 Rent expense<br>3,450 Wages expense<br>15,050<br>$ 2,000<br>13,500<br>2,500<br>8,000<br>Cash<br>Accounts receivable<br>Equipment<br>Accounts payable<br>I. Lawson, Capital<br>Use the above information to prepare a December statement of owner's equity for Lawson Consulting. Hint: Net income for December<br>is $3,000.<br>X Answer is complete but not entirely correct.<br>LAWSON CONSULTING<br>Statement of Owner's Equity<br>For Month Ended December 31<br>1. Lawson, Capital, December 1<br>Add: Investments by owner<br>21,680 X<br>Add: Net income<br>5,600 X<br>27,280<br>Less: Withdrawals by owner<br>(3,300) 8<br>1. Lawson, Capital, December 31<br>23,980<br>

Extracted text: Lawson Consulting, which began operations on December 1, had the following accounts and amounts on December 31. The I. Lawson, Capital account balance at December 1 was $0 and the owner invested $15,050 cash in the company on December 2. On December 31, the company's accounts and amounts for the month of December are shown in the table below: $ 7,500 I. Lawson, Withdrawals 5,000 Services revenue 7,000 Rent expense 3,450 Wages expense 15,050 $ 2,000 13,500 2,500 8,000 Cash Accounts receivable Equipment Accounts payable I. Lawson, Capital Use the above information to prepare a December statement of owner's equity for Lawson Consulting. Hint: Net income for December is $3,000. X Answer is complete but not entirely correct. LAWSON CONSULTING Statement of Owner's Equity For Month Ended December 31 1. Lawson, Capital, December 1 Add: Investments by owner 21,680 X Add: Net income 5,600 X 27,280 Less: Withdrawals by owner (3,300) 8 1. Lawson, Capital, December 31 23,980

Jun 11, 2022
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