Prepare a tabular analysis

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Reference no: EM131397191

Analyzing the Effect of Transactions

Purpose of Assignment - The purpose of this assignment is to help you become familiar with examining transactions and how it affects the balance sheet.

Assignment Steps

Resources: Financial Accounting: Tools for Business Decision Making

Write a minimum 150-word response to each of the following scenarios from Exercise in Financial Accounting describing the effect of each transaction on assets, liabilities, and stockholder's equity:

Selected transactions for Thyme Advertising Company, Inc

  • Issued common stock to investors in exchange for cash received from investors.
  • Paid monthly rent.
  • Received cash from customers when service was performed.
  • Billed customers for services performed.
  • Paid dividend to stockholders.
  • Incurred advertising expense on account.
  • Received cash from customers billed in (4).
  • Purchased additional equipment for cash.
  • Purchased equipment on account.

Use the Excel spreadsheet to record your answers and submit with your responses.

Prepare tabular analysis.

Exercise - Transactions made by Mickelson Co. for the month of March are shown below. Prepare a tabular analysis that shows the effects of these transactions on the expanded accounting equation.

1. The company performed $20,000 of services for customers on account.

2. The company received $20,000 in cash from customers who had been billed for services [in transaction (1)].

3. The company received a bill for $1,800 of advertising but will not pay it until a later date.

4. Mickelson Co. paid a cash dividend of $3,000.

Identify normal balances.

Attachment:- Assignment Files.zip

Reference no: EM131397191

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len1397191

2/17/2017 2:30:49 AM

The purpose of this assignment is to help you become familiar with examining transactions and how it affects the balance sheet. Write a minimum 150-word response to each of the following scenarios from Exercise in Financial Accounting describing the effect of each transaction on assets, liabilities, and stockholder's equity. Use the Excel spreadsheet to record your answers and submit with your responses.

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