Both the question and the sheet to fill out the answers are attached
ANSWERS
Problem #1: (20 points)
BI LOI, ACCURPUNCTURIST
Income Statement
For the Month Ended
September 30, 2009
————————————————————————————————————
Revenues
$___________
Expenses (list below)
____________________________________ $______________
____________________________________ ______________
__________________________________ ______________
____________________________________ ______________
Total expenses $___________
Net income $
BI LOI, ACCURPUNCTURIST
Owner’s Equity Statement
For the Month Ended September 30, 2009
—
———————————————————————————————————
Bi Loi, Capital, September 1 $___________
Add: ________________________ _____________
Subtotal $____________
Less: ________________________ ____________
Bi Loi, Capital, September 30 $
Problem #1 (continued))
BI LOI, ACCURPUNCTURIST
Balance Sheet
September 30, 2009
———————————————————————————————————
Assets (list all down below)
$
Total assets
$
Liabilities
and Owner’s Equity
Liabilities
$
Owner’s Equity $
Total liabilities and owner’s equity $
Problem #2: ANSWERS (30 points)
Entry # |
Account.3.1.mjm |
Debit |
Credit |
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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7. |
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8. |
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9. |
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10. |
Problem #1:
(20 points) Prepare an income statement, an owner’s equity statement, and a balance sheet for the accupuncture practice of Bi Loi, from the items listed below for the month of September. Use the format on the answer sheet to insert your answers!!
Bi Loi, Capital, September 1 $42,000
Accounts payable 7,000
Equipment 30,000
Service revenue 25,000
Bi Loi, Drawings 6,000
Dental supplies expense 3,500
Cash 6,000
Utilities expense 700
Dental supplies 2,800
Salaries expense 9,000
Accounts receivable 14,000
Rent expense 2,000
Problem #2: (30 points)
Journalize the following business transactions in general journal form. Use the journal provided on the answer sheet. Identify each transaction by number. You may omit explanations of the transactions.
1. The owner, Athena Lu, invests $35,000 in cash in starting a real estate office operating as a sole proprietorship.
2. Purchased $400 of office supplies on credit.
3. Purchased office equipment for $8,000, paying $2,000 in cash and signed a 30-day, $6,000, note payable.
4. Real estate commissions billed to clients amount to $4,000.
5. Paid $700 in cash for the current month’s rent.
6. Paid $200 cash on account for office supplies purchased in transaction 2.
7. Received a bill for $600 for advertising for the current month.
8. Paid $2,200 cash for office salaries.
9. Lu withdrew $1,200 from the business for living expenses.
10. Received a check for $3,000 from a client in payment on account for commissions billed in transaction 4.