Acc 201 Chapter 1 & 2 Problems

proceeding 1-2 a. Investors put assets into the lodge with the expectation of sharing profits. Creditors shiver in assets to the company with the expectation of repayment of the principal confirming lodge in on the loan. b. Kennedy Company business relationship compare EventAssets=Liabilities +Stockholders Equity money Notes collectable cat valium StockRetained stipend Acquired assets$3,400 $1,600 $1,800 Incurred loss(1,600) (1,600) repose$1,800=$1,600+$1,800$(1,600) The notes proportionality of $1,800 bequeath be distributed first to the creditors. Since the company owed $1,600 to creditors and there be sufficient funds to pay them, the creditors allow for get under ones skin $1,600. The investors will receive the balance of $200. c. Kennedy Company Accounting Equation EventAssets=Liabilities +Stockholders Equity Cash Notes Payable Common StockRetained payment Acquired assets$3,400 $1,600 $1,800 earned profit1,600 1,600 Balance$5,000=$1,600+$1,800$1,600 The creditor will receive the $1,600 that is owed to them. The stockholders will receive their initial investment of $1,800 plus an additional $1,600 of profit for a total of $3,400.

EXERCISE 1-4 EntitiesDistribution of Cash Mr. Chang (personal cipher)Personal estimate was fall by the $30,000 cash deposited in the Chang Enterprises business count. Chang EnterprisesCash news report change magnitude by the $30,000 cash deposited by Mr. Chang. Cash account increase by $40,000 cash borrowed from First Bank. Cash account change magnitude by $64,000 cas h invested by Jim Harwood. Cash account di! minish by $120,000 cash used to purchase building. Cash account increased by $28,000 cash revenue earned. Cash account decreased by $25,000 cash payment to employees for salaries. First BankCash account decreased by $40,000 cash loaned to Chang Enterprises. Jim Harwood, father-in-law, personal accountCash decreased by $64,000 cash invested...If you want to fuck off a sound essay, order it on our website: BestEssayCheap.com

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