Question

A tabular analysis of the transactions made by Kathy Gogin & Co, a certified public accounting firm, for the month of August is shown below. Each increase and decrease in stockholders' equity is explained Event Cash Accts Rec Supplies - Office Equipme= nt Accts Payable Stockhol ders Equity 18,000investment 1 2 5.000 3.000 750 4 3,400 11.400Fees earned 18,000 (2.000) (750) 8,000 (1,500) (2,500) (650) 450 (1.500) 6 7 8 (2 500)Dividends (650)Rent expense (450) 9 (2.900) Salaries (2.900) expense (900) bes expense 900 10 (a On each line below briefly describe each transaction that occurred for the month from the above tabular analysis Stockhol Invested 515.000

please provide a thorough statement with structured debit credit listings and provide explanation for easy understanding

Answer 1

1	Stockholder's Invested $18000 cash in business
2	Purchase of Office Furniture for $5000 by paying $2000 Cash and balance to be paid in future
3	Cash paid $750 for Purchase of Supplies
4	Services provided for $11400 out of which $8000 is for cash and $3400 on account
5	Cash paid $1500 for balance payable in transaction 2
6	$2500 cash paid for dividends
7	$650 cash paid for rent
8	Cash Collected $450 from accounts receivables
9	$2950 cash paid for Salaries
10	$900 utilities expense accrued but not paid

Common Stock	$            18,000
Fees Earned	$            11,400
Dividend	$             (2,500)
Rent Expense	$                (650)
Salaries Expense	$             (2,950)
Utilities Expense	$                (900)
Increase in Stockholder's Equity	$            22,400

Fees Earned	$            11,400
Rent Expense	$                (650)
Salaries Expense	$             (2,950)
Utilities Expense	$                (900)
Net Income	$              6,900

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