Brief Exercise 1-3At the beginning of the year, Sielert Company had total assets of $894,920 and tot

Brief Exercise 1-3At the beginning of the year, Sielert Company had total assets of $894,920 and tot

Brief Exercise 1-3At the beginning of the year, Sielert Company had total assets of $894,920 and total liabilities of$342,070. Answer the following questions.(a) If total assets increased $149,290 during the year and total liabilities decreased $55,250, what isthe amount of owner’s equity at the end of the year?$Owner’sequity(b) During the year, total liabilities increased $139,330 and owner’s equity decreased $89,150. Whatis the amount of total assets at the end of the year?Total assets$(c) If total assets decreased $58,900 and owner’s equity increased $95,540 during the year, what isthe amount of total liabilities at the end of the year?Total liabilities$Brief Exercise 1-4Use the expanded accounting equation to answer each of the following questions.(a) The liabilities of Roman Company are $85,970. Owner’s capital account is $155,600; drawings are$83,500; revenues, $452,440; and expenses, $329,680. What is the amount of Roman Company’s totalassets?$Roman Company’s totalassets(b) The total assets of Dylan Company are $64,370. Owner’s capital account is $29,010; drawings are$5,190; revenues, $50,100; and expenses, $43,920. What is the amount of the company’s totalliabilities?$Dylan Company’s totalliabilities(c) The total assets of Capp Co. are $390,000 and its liabilities are equal to two-thirds of its totalassets. What is the amount of Capp Co.’s owner’s equity?Capp Co.’s owner’sequity$Brief Exercise 1-9Your answer is partially correct. Try again.Presented below are three transactions. Mark each transaction as affecting owner’s investment,owner’s drawings, revenue, expense, or not affecting owner’s equity.(a)Received cash for servicesperformed(b) Paid cash to purchase equipmentOwner’s drawingsRevenueres_EAT_135519(c)Paid employee salariesExpenseBrief Exercise 1-11Indicate whether the following items would appear on the income statement, balance sheet, orowner’s equity statement.(a)Notes payable(b)Advertisingexpense(c)Owner’s capital(d) Cash(e)Service revenueExercise 1-4The following situations involve accounting principles and assumptions.For each of the three situations, say if the accounting method used is correct or incorrect. If correct,identify which principle or assumption supports the method used. If incorrect, identify which principleor assumption has been violated.Accountingmethod1.Piang Company owns buildings that are worthsubstantially more than they originally cost. Inan effort to provide more relevant information,Piang reports the buildings at fair value in itsaccounting reports.2.Delta Company includes in its accountingrecords only transaction data that can beexpressed in terms of money.3.Principle/AssumptionLuke Witte, owner of Luke’s Photography,records his personal living costs as expenses ofthe business.Exercise 1-6Selected transactions for Tara Lawn Care Company are listed below.Describe the effect of each transaction on assets, liabilities, and owner’s equity.For example, the first answer is: Increase in assets and increase in owner’s equity.1.Made cash investment to startbusiness.2. Paid monthly rent.3. Purchased equipment on account.4.Billed customers for servicesperformed.5.Withdrew cash for owner’s personaluse.6.Received cash from customers billedin (4).7.Incurred advertising expense onaccount.8.Purchased additional equipment forcash.9.Received cash from customers whenservice was performed.Exercise 1-11Two items are omitted from each of the following summaries of balance sheet and income statementdata for two proprietorships for the year 2014, Garba’s Goods and Zahra Enterprises.Determine the missing amounts.Garba’sGoodsBeginning of year:Total assetsTotal liabilitiesTotal owner’s equityEnd of year:Total assetsTotal liabilitiesTotal owner’s equityChanges during year in owner’s equity:Additional investmentDrawingsTotal revenuesTotal expensesZahraEnterprises$138,006$161,843$106,641$(a)200,736150,55250,184$36,383269,739219,555Don’t show me this message again for the assignment(c)100,368225,82862,730163,098(b)31,365$125,46075,276(d)

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