1. How much is the increase in the capital of Choy after taking into account all transactions? Choy, after recelving her degree in Hotel and Restaurant Management began her own businesscalled Choy Cakes and Patries. She completed the following transactions soon after the start of the business.Choy began her business with a P150,000 cash investment, which she deposited in the bank anda laptop and printer worth P35,000.Paid one month's rent on a sales outlet space for her business. Rent is P10,000 per month.Choy does her baking at their home and she only needed a display and sales outlet for her products.Purchased an oven worth P70,000 in cash.Purchased baking supplies on account worth P50,000.Purchased baking paraphernalia like pans, etc.worth P20,000, in cash.Received cash for cakes and pastries sold, P40,000 for the month.Billed a customer for the cakes and pastries ordered for a birthday party, P15,000.h.b.C.d.e.f.Paid utilities for the month worth P5000.7.Paid her parents for the space being used as baking area at their home, P5000.Determined that baking supplies is now worth P30,000 for the month.From letter D transaction, Choy paid P20,000.Customer from letter G paid his order in fullChoy withdrew P10,000 cash from the business for personal use.k.m.Required: Analyze the transactions as to their effect on the accounting equation. Show new balances aftereach transaction. Identify each owner's equity account type.Please use the following acount names/account titles for uniformity:Assets:CashAccounts receivableBaking suppliesBaking toolsOvenOffice equipmentLabity Accounts payableCapital: Choy, capitalChoy, WithdrawalsSales revenueRent expenseUtilities expenseEsuadxa sagddns Bupreg

Financial statements are the set of records of the financial transactions and position of a business…

Answered: 1. How much is the increase in the…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Choy, after recelving her degree in Hotel and Restaurant Management began her own business called Choy Cakes and Patries. She completed the following transactions soon after the start of the business. Choy began her business with a P150,000 cash investment, which she deposited in the bank and alaptop and printer worth P35,000. Paid one month's rent on a sales outlet space for her business. Rent is P10,000 per month. Choy does her baking at their home and she only needed a display and sales outlet for her products. Purchased an oven worth P70,000 in cash. Purchased baking supplies on account worth P50,000. Purchased baking paraphernalia like pans, etc.worth P20,000, in cash. Received cash for cakes and pastries sold, P40,000 for the month. Billed a customer for the cakes and pastries ordered for a birthday party, P15,000. Paid utilities for the month worth P5000. b. C. d. e. f. h. 7. Paid her parents for the space being used as baking area at their home, P5000. Determined that baking…
Choy, after receiving her degree in Hotel and Restaurant Management began her own business called Choy Cakes and Pastries. She completed the following transactions: a. Choy began her business with a P150,000 cash investment, which she deposited in the bank and a laptop and printer worth P35,000. b. Paid one month's rent on a sales outlet space for her business. Rent is P10,000 per month. c. Purchased an oven worth P70,000 in cash. d. Purchased baking supplies on account worth P50,000. e. Purchased baking paraphernalia like pants, etc. worth P20,000 in cash. f. Received cash for cakes and pastries sold, P40,000 for the month. g. Billed a customer for the cakes and pastries ordered for a birthday party, P15,000. h. Paid utilities for the month worth P5,000. i. Paid her parents for the space being used as baking area at their home, P5,000. j. Determined that baking supplies is now worth P30,000 for the month. k. From letter D transaction, Choy paid P20,000. l. Customer from…
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Angela de Dios, a business graduate student who was working in Think Computer, a company selling all kinds of computers, decided to become an entrepreneur and put up an internet shop. The following are the transactions for the month of March: 1 - Angela started an internet shop called “Playnet. com” by investing her savings of ₱ 50,000 and the proceeds from the sale of her car of ₱ 300,000 5 - Angela hired two workers to assist her in the shop. 10 - Two month rent deposit was paid in cash, ₱10,000 15 - Paid ₱15,000 for building materials to fix the shop, ₱8,000 for furniture, ₱ 45,000 for one unit of aircon and two units of electric fan. 20 - Purchased supplies for cash, ₱1,500 25 - The shop was ready for the installation of the computer units. Angela purchased 12 units of computer hardware from Think PC. She paid 50% in cash for ₱ 125,000 and a note for the balance payable in 24 monthly installments starting April 20.
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