ALOE practice

1 Owner's Capital, Jan 1, 2019 250,000 Owner's Capital, Jan 1, 2019 250,000
Additional investment 80,000 Additional investment 80,000
Net income 115,000 Net income 115,000
Drawings 10,000 Sub-total 445,000
Owner's Capital, Dec 31, 2019 ? Owner's Drawings - 10,000
Owner's Capital, Dec 31, 2019 435,000

2 Owner's Capital, Jan 1, 2019 200,000 Owner's Capital, Jan 1, 2019 200,000
Additional investment ? Additional investment 50,000
Net income 83,000 Net income 83,000
Drawings 15,000 Sub-total 333,000
Owner's Capital, Dec 31, 2019 318,000 Owner's Drawings - 15,000
Owner's Capital, Dec 31, 2019 318,000

or
Owner's Capital, Dec 31, 2019 318,000
Drawings 15,000
Subtotal 333,000
Owner's Capital, Jan 1, 2019 - 200,000
Net income - 83,000
Additional investment 50,000

3 Owner's Capital, Jan 1, 2019 ? Owner's Capital, Jan 1, 2019 150,000

Net income 57,000 Net income 57,000
Drawings 20,000 Sub-total 207,000
Owner's Capital, Dec 31, 2019 187,000 Owner's Drawings - 20,000
Owner's Capital, Dec 31, 2019 187,000

or
Owner's Capital, Dec 31, 2019 187,000
Drawings 20,000
Subtotal 207,000
Net income - 57,000
Owner's Capital, Jan 1, 2019 150,000

QUIZZIS
1 Consulting Revenue 400,000
Employees salaries expense 180,000
Interest Expense 10,000
Rent expense 20,000 (210,000)
Net Income 190,000
2 Customers on account for June 35,000
Cash customers for June 30,000
Cash collections from account customers 20,000
Total Revenue for June 85,000

3 Expenses incurred and paid in June 38,500

Expenses incurred in June but not paid in June 7,000
Expenses applicable to June 1,000
Total Expenses for June 46,500

4 Total Revenue for June (a) 85,000

Total Expenses for June (b) (46,500)
Net Income 38,500

5 Ending, Owners' Equity 43,000

Owners' Drawings 16,000
Sub-total 59,000
Beginning, Owners' Equity (65,000)
Net Income/ (Loss) (6,000)

To check:
Beginning, Owners' Equity 65,000
Additional Investment 0
Net Income (loss) (6,000)
Sub-total 59,000
Owners' Drawings (16,000)
Ending, Owners' Equity 43,000

6 Assets Liabilities Owners' Equity

Beginning 295,000 190,000 105,000
Ending 355,000 220,000 135,000

Ending, Owners' Equity 135,000

Owners' Drawings 50,000
Sub-total 185,000
Additional investment - 35,000
Beginning, Owners' Equity (105,000)
Net Income 45,000

To check:
Beginning, Owners' Equity 105,000
Additional Investment 35,000
Net Income 45,000
Sub-total 185,000
Owners' Drawings - 50,000
Ending, Owners' Equity 135,000
 7 Equity 300,000
Liabilities 192,000 Add
Assets 492,000

8 Assets
Cash 10,000
Accounts Receivable 8,000
Accrued Revenue 2,000
Supplies 1,000 21,000
Liabilities
Accounts Payable 6,000
Unearned Revenue 3,000 - 9,000
Owners' Equity 12,000

9 Beginning Equity 145,000

Net Income
Revenues 210,000
Expenses (165,000) 45,000 Add net income
Ending Equity 190,000
Ending Liabilities 92,000 Add
Ending Asset 282,000

10 Cash 10,000
Notes Payable (30 days) 40,000
Total Acquisition Cost 50,000

Actual acqusition cost from the perspective of the business