Question

Better Boat Company is a service-based company that rents canoes for use on local lakes and rivers. Alyssa Winni graduated from college about 10 years ago. She worked for one of the "Big Four" accounting firms and became a CPA. Because she loves the outdoors, she decided to begin a new business that will combine her love of outdoor activities with her business knowledge. Alyssa decides that she will create a new sole proprietorship, Better Boat Company, or BBC for short. The business began operations on November 1, 2018 (Click the icon to view the transactions.) Read the requirements Requirement 1. Analyze the effects of Better Boat Company's transactions on the accounting equation. Included are the following headings: Cash; Accounts Receivable (A/R): Office Supplies (Off. Sup.); Canoes, Accounts Payable (A/P); Utilities Payable (Util. Pay.); Telephone Payable (Tele. Pay.); Winni, Capital; Winni, Withdrawals (Withdr.); Canoe Rental Revenue (Rent. Rev.); Rent Expense (Rent Exp.); Utilities Expense (Util. Exp.); Wages Expense (Wage Exp.), and Telephone Expense (Tele. Exp.). Analyze the events chronologically, one transaction at a time, beginning with the transaction on November 1. For each transaction that follows the November 1st transaction, calculate the balance in each account after analyzing its effect on the accounting equation. After calculating the ending balance of each account on November 30, calculate total assets and total liabilities and equity. (Complete only the necessary answer boxes for your transaction lines. [Do not enter any zeros for your transaction lines.] Carry down all balances to the "Bal" line, including zero balance accounts, entering a "0" for any zero balances. Enter a decrease in an account with a minus sign or parentheses.) Assets Liabilities Equity Cash A/R Off. Canoes = A/P Util. Tele. + Winni, Winni, Util. Wage - Tele. Sup. Pay Pay. Capital Withdr Rev. Exp Exp. Exp Exp + + + + Rent - Rent - Enter any number in the edit fields and then click Check Answer. 17 parts Clear All Check Answer remaining

Answer 1

0 E R S (+) H M Accounting equation Assets (=) Liabilities Equity Cellphone Utility exp (-) rent (-) utility Date Cash A/R Supplies Canoes (=) A/P payable payable (+) Capital (-) withdrawl (+) rent exp exp (-)wage (-) tele 1-Nov 21000 (+) 21000 2-Nov-900 (=) (+) 900 3-Nov 4700 (=) 4700 (+) 4-Nov 1100 (=) 1100 (+) 7-Nov 2100 (+) 2100 13-Nov -1700 (=) (+) 1700 15-Nov -150 (+) 150 16-Nov 90 (+) 90 20-Nov (=) 200 (+) 200 22-Nov 3600 (=) (+) 3600 26-Nov-2500 (=) -2500 (+) 28-Nov 800 -800 (=) (+) 30-Nov -350 (=) (+) 350 Total 18300 2800 1100 4700 (5) 3300 90 200 (+) 21000 500 5700 900 90 1700 200 5700 2. INCOME STATEMENT Rent income Less: expenses Rent expense Utility expense Wage expense Telephone expense Total expense 3. Statement of owner's equity Opening balance 0 Capital 21000 (-) withdrwals -500 (+) profit 2810 Closing Balance 23310 BALANCE SHEET Liabilities & Capital Onwer;s capital Accounts payable Utility payable cellphone exp payable 900 Amount Assets Amount 23310 Cash 18300 3300 Accounts receivabl 2800 90 Canoes 4700 200 Supplies 1100 26900 26900 90 1700 200 2890 Profit 2810