Question

Nature of Transactions Cheryl Alder operates her own catering service. Summary financial data for March is presented in the following accounting equation form. Each line, designated by a number, indicates the effect of a transaction on the balance sheet. Each increase and decrease in retained earnings, except transaction (4), affects net income. Cash + Land Liabilities + Capital Stock + Retained Earnings Bal. 43,300 10,300 15,700 27,600 10,300 1. 26,500 26,500 2. (19,800) 19,800 3. (16,900) (16,900) 4. (1,100) (1,100) Bal. 32,000 30,100 15,700 27,600 18,800 a. Enter the amount for each transaction described below. 1. Provided catering services for cash $ 2. Purchased land for cash $ IIII 3. Paid expenses $ 4. Paid cash as dividends $ b. What is the net decrease in cash during the month? $

Answer 1

Ans: Dear Student, As HOMEWORKLIB Q&A Guidelines only first four Parts can be answered,

Particulars	Amount
Provided catering Services for Cash	26,500
Purchased Land for Cash	19,800
Paid Expense	16,900
Paid Cash as dividends	1,100

2. Net decrease in cash during the month= Opening Balance- Balancing figure

=> 43,300-32,000

=> 11,300

3. Net increase in retained earnings during the month= 18,800-10,300

=> 8,500

4. Net income for the month= Catering services for cash- Paid expenses

=> 26,500-16,900

=> 9,600