Ana Catarina Rodrigues Teixeira Practical Case

Solution to practical case

Transaction number 1 10,000 2 3 4 5 6 7 8 9 10 11 5,000 1,000 2,000 300 1,000 Cash Company's car Office equipment Books Accounts receivables Wages Owner's capital Owner's capital Cash Long-term note Revenue Cash 10,000 5,000 1,000 2,000 300 1,000 Date Debit Account Account Credit

Debit

Account

Account

Credit

Ana Catarina Rodrigues Teixeira Practical Case

Solution to practical case

BALANCE SHEET

Cash 10,000 1,000 1,000

Accounts receivables 300 300 0 0

Long-term note 2,000 0 2,000 2,000

10,000 8,000

2,000

Equipment 5,000 1,000 5,000 4,000 1,000

Books 2,000

2,000

Owner Capital 10,000 5,000 0 15,000 15,000

Owner Withdrawals

0 0

INCOME STATEMENT

Rental 1,000 0 0 0 1,000 1,000

Wages

Revenues 300 0 0 300 300

gues Teixeira

Ana Catarina Rodrigues Teixeira Practical Case

Solution to practical case

Satement of cash flow
Initial cash 0 -700 -700 -6,000 -4,000 -2,000 17,000 2,000 15,000 0 10,300 10,300

Income statement
Total Revenues Total Expenses Rental Cleaning Services Net Income 0 1,000 -700 300

Cash flow form operating activities Net income Cash flow from investing activities 1,000 Equipment Furniture Cash flow from financing activities Long-term note Onwer investment Owner withdrawals Change in cash Ending cash

Statement of Owner's Equity

Initial Capital Plus Investment by owner Net Income Less Change in Capital Ending Capital Owner withdrawals 15,000 -700 0 14,300 0 14,300 Liabilities 14,300 Fixed Assets Total Assets 0 Assets

Balance sheet statement

Cash Current Assets Equipment Furniture

8,000 8,000 4,000 2,000 6,000 14,000

Long-term note Long term liabilities Owner Capital Owner withdrawals Net Income Total equity Total Liabilities

2,000 2,000 15,000 0 -700 14,300 16,300