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  3. requirements: (a) preceding the transactions in th

Requirements: (a) Preceding the transactions in the terms of their effects on the ACCOUNTING EQUATION...

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Accounting

Requirements: (a) Preceding the transactions in the terms of their effects on the ACCOUNTING EQUATION of Campus Apartment Locaters.

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---- (b) Prepare the income statement, statement of owners equity and balanace sheet of the business.

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Ron Smith opens an apartment-locator business near a college campus. The com- pany will be named Campus Apartment Locators. During the first month of opera- tions, July 2013, the business completes the following transactions: a. Smith invests $35,000. The business receives $35,000 cash and gives capital to Smith. b. Purchases $350 of office supplies on account. c. Pays eash of $30,000 to acquire a lot next to the campus. Smith intends to use the land as a future building site for the business office. d. Locates apartments for clients and receives cash of $1,900. e. Pays $100 on the account payable he created in transaction b. f. Pays $2,000 of personal funds for a vacation. g. Pays cash expenses for office rent, $400, and utilities, $100. h. Returns office supplies of $150 from transaction b. i. Smith withdrew cash of $1,200

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