Show the impact of transactions on the accounting equation

Assignment Help Financial Accounting

Reference no: EM13745234

(Learning Objectives 3, 5: Show the impact of transactions on the accounting equation; record (journalize and post) transactions in the books) Architect Aaron Ashton purchased supplies on account for $1,700. Later Ashton paid $425 on account.

1. Journalize the two transactions on the books of Aaron Ashton, architect. Include an explanation for each transaction.

2. Open a T-account for Accounts Payable and post to Accounts Payable. Compute the balance and denote it as Bal.

3. How much does the Ashton business owe after both transactions? In which account does this amount appear?

Reference no: EM13745234

Questions Cloud

Implications of the issues in question for market efficiency : Analyze the significant implications of the issues in question for market efficiency of the health care system. provide a rationale for your respons

In what areas of the body are epithelium located : In what areas of the body are epithelium located? What are four characteristics of epithelial tissue

Subsequent transfers to corporation : John organized Toucan Corporation 10 years ago. He contributed property worth $1,000,000 (basis of $200,000) for 2,000 shares of stock in Toucan (representing 100% ownership). John later gave each of his children, Julie and Rachel, 500 shares of the ..

Show the impact of transactions on the accounting equation : (Learning Objectives 3, 5: Show the impact of transactions on the accounting equation; record (journalize and post) transactions in the books) Architect Aaron Ashton purchased supplies on account for $1,700. Later Ashton paid $425 on account.

What is meant according to economic principles : What is meant according to economic principles - A firm had to spend $50 in order to purchase the resources required to make the good or service.

Adjust the accounts for interest expense : (Learning Objective 3: Adjust the accounts for interest expense) Cheap Travel borrowed $60,000 on October 1 by signing a note payable to Community Bank. The interest expense for each month is $250. The loan agreement requires Cheap to pay interest on..

Adjust the accounts for accrued and unearned revenue : Adjust the accounts for accrued and unearned revenue) Bantley, Inc., collects cash from customers two ways: Accrued revenue. Some customers pay Bantley after Bantley has performed service for the customer. During 2012, Bantley made sales of $55,000 o..

Does bopfor 2011 indicate a trade deficit or a trade surplus : Will the currect accounts balance in 2011 put downward (depreciating) or upward (appreciating) pressure on our currency exchange rate - overvalued currency to an undervalued currency.

User Account

All Pages