Scribd Logo
Upload

Welcome to Scribd!

  • 174 views

    U2A2 - Assignment - Business Transactions

    Uploaded by

    Zoya Ilias
    The document provides a series of business transactions and asks the reader to identify which balance sheet accounts are affected, whether they increase or decrease, and the amount of change. It gives an example of purchasing equipment for $2,000 cash, which increases equipment by $2,000 and decreases cash by $2,000. There are then 10 additional transactions to analyze regarding items like receiving customer payments, paying salaries, purchasing assets, and providing/receiving services.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd

    U2A2 - Assignment - Business Transactions

    Uploaded by

    Zoya Ilias
    174 views2 pages
    The document provides a series of business transactions and asks the reader to identify which balance sheet accounts are affected, whether they increase or decrease, and the amount of change. It gives an example of purchasing equipment for $2,000 cash, which increases equipment by $2,000 and decreases cash by $2,000. There are then 10 additional transactions to analyze regarding items like receiving customer payments, paying salaries, purchasing assets, and providing/receiving services.

    Original Title

    U2A2_assignment_Business Transactions

    Copyright

    © © All Rights Reserved

    Available Formats

    PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    The document provides a series of business transactions and asks the reader to identify which balance sheet accounts are affected, whether they increase or decrease, and the amount of change. It gives an example of purchasing equipment for $2,000 cash, which increases equipment by $2,000 and decreases cash by $2,000. There are then 10 additional transactions to analyze regarding items like receiving customer payments, paying salaries, purchasing assets, and providing/receiving services.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    174 views2 pages

    U2A2 - Assignment - Business Transactions

    Uploaded by

    Zoya Ilias
    The document provides a series of business transactions and asks the reader to identify which balance sheet accounts are affected, whether they increase or decrease, and the amount of change. It gives an example of purchasing equipment for $2,000 cash, which increases equipment by $2,000 and decreases cash by $2,000. There are then 10 additional transactions to analyze regarding items like receiving customer payments, paying salaries, purchasing assets, and providing/receiving services.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    You are on page 1of 2

    BAF3M (2012): Financial Accounting Principles (2012), Grade 11

    Unit 2: Balance Sheet and Transactions


    Activity 2: Business Transactions
    Assignment #1 – Assessing Business Transactions

    Name Zoya Ilias

    For each of the transactions listed below,


    ● determine the balance sheet accounts affected;
    ● indicate whether they are increased or decreased, and;
    ● state the value of the change.
    Increase Decrease Amount

    Equipment $2 000
    Example: Purchased equipment for $2 000 cash. 
      Cash $2 000

    Cash $1 800
    a) Received $1 800 payment from customers for
    previous purchases on credit. Accounts
    $1 800
    Receivable

    Bank $5 000
    b) Owner invested $5 000 in the business.
    Capital $5 000

    c) Paid salaries totaling $2 000 to employees. Capital $2 000

    Cash $2 000

    d) Purchased $15 000 automobile on credit. Automobile $15 000

    Accounts
    $15 000
    Receivable

    e) Purchased new office building; paid $200 000 cash Office $500,000
    and took out mortgage for $300 000. building

    Mortgage $300,000
    Payable

    Cash $200,000

    f) Received $850 for the sale of an old piece of Cash $850


    equipment.
    Equipment

    g) Paid $890 for repairs to building. Cash $890

    Hint: When repairs occur, this does not increase the


    value of the building but rather reduces owner’s Capital $890
    equity.
    Increase Decrease Amount

    h) Paid $8 000 toward amount owing for automobile Outstanding


    purchased previously. Balance $8 000

    Accounts
    Payable $8 000

    i) Performed accounting services for $4 500 and was Capital $4 500


    paid cash.
    Cash $4 500

    j) Sent a bill for $4 200 to a customer for accounting Accounts


    $4 200
    services; to be paid later. receivable

    You might also like