Business, 01.09.2021 01:40 jlroy1971

James Moore opened his law firm business on June 1, 2021. Based on the transactions his business had, below is the transaction analysis completed for the month of June, 2021. Instructions:

1. Based on the transaction analysis table provided, choose any three letters from (b) to (l) and based on the effect on the accounting equation, you are to write ANY 3 transactions that occurred during the month. Eg. Letter (a) transaction is “the owner invested in the business by depositing $30,000 from his personal bank account into the business bank account”. Correct spelling is important (3 pts)

2. Using the transaction analysis final balances at the end of the month (balances in orange font), prepare the following financial statements:
a. an income statement. (7 pts)
b. a statement of owner’s equity (5 pts)
c. a balance sheet (7 pts)
d. a statement of cash flows (10 pts) (focus on the cash column of the transaction analysis)

ASSETS = LIABILITIES + OWNER’S EQUITY
Cash Accounts
Receivable supplies Accounts payable James Moore, capital James Moore, drawings Fees earned Rent expense Salaries Expense Supplies Expense Repairs expense
a. +30,000 +30000
bal 30000 30000
b. +1750 +1750
bal 30000 1750 1750 30000
c. +3,600 3600
Bal 30,000 3,600 1750 1750 30000 3600
d. -1300 -1300
bal 28,700 3,600 1750 1750 30000 3600 1300
e. 500 +500
Bal 28,200 3,600 2,250 1,750 30000 3600 1300
f. +600 -600
Bal 28,800 3,000 2,250 1,750 30000 3,600 1300
g. +4,000 +4,000
Bal 32,800 3,000 2,250 1,750 30000 7,600 1300
h. -1000 -1000
Bal 31,800 3,000 2,250 1,750 30000 7,600 1300 1000
i. -1,000 -1,000
Bal 30,800 3,000 2,250 750 30000 7,600 1300 1000
j. -2000 -2000
Bal 28,800 3,000 2,250 750 30000 2000 7,600 1300 1000
k. -1,500 -1500
Bal 27,300 3,000 2,250 750 30,000 2,000 7,600 1,300 1,000 1,500
l. -800 -800
Bal. 27,300
3,000 1,450 750 30,000 2,000 7,600 1,300 1,000 800 1500

Answers: 2

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James Moore opened his law firm business on June 1, 2021. Based on the transactions his business had...