Accounting 301 Week 1

Week 1 Assignment

Ch 1 E1-3:

Accounts Payable and accrued liabilities- L/F

Accounts receivable- R/O

Property, Plant and equipment- E/I

Food and beverage operations revenue- R/O

Golf course operations revenue- R/O

Inventory- SE/O

Long-term debt- L/F

Office and general expense- E/O

Professional fees expense- E/O

Wages and benefits expense- E/O

CH 1 P1-3A:

Income Statement

For the month ended June 31, 2010

Revenues

Revenue 7,000

Expenses

Supplies expense 1,000

Advertising Expense 400

Gas and oil expense 600

Utilities expense 300

Wage expense 1,400

Total expenses 3,700

Net income 3,300

Retained earnings statement

For the month ended June 31, 2010

Retained earnings, June 1 0

Add net income 3,300

3,300

Less dividends 2,000

Retained earnings June 31 1,300

Balance sheet

June 31, 2010

Assets

Cash 4,600

Accounts receivable 4,000

Supplies 2,400

Equipment 29,000

Total assets 40,000

Liabilities and Stockholders’ equity

Liabilities

Notes Payable 12,000

Accounts payable 500

Total liabilities 12,500

Stockholders’ equity

Retained earnings 1,300

Total liabilities and Stockholder equities 13,800

The major point to address as to the forst month being a success is that the company finished with again, and not ending in the negative, Though profits could have been higher, the fact that the company did not go into the negative is key.

I think the companies’ main reason for distributing a dividend is two part, one to inspire confidence in the investors, and because perhaps they exceeded their goal for the first month, however without more information this cannot be determined for certain.

CH 2 E2-1

Accounts payable and accrued liabilities-CL

Accounts receivable-CA

Accumulated depreciation-PPE

Buildings-PPE

Cash and short-term investments-CA

Dividends payable-CL

Goodwill-IA

Income taxes payable-CL

Inventories-CA

Investments-CA

Land-PPE

Long-term debt-LTL

Materials and...