ACCT 211 Connect Homework Chapter 1 Problems Liberty University Solution

Question 1

The following financial statement information is from five separate companies:

1a. What is the amount of equity on December 31, 2016 for Company A.

1b. What is the amount of equity on December 31, 2017 for Company A.

1c. What is the amount of liabilities on December 31, 2017 for Company A.

Question 2

2a. What is the amount of equity on December 31, 2016 for Company B.

Assets

Liabilities

2b. What is the amount of equity on December 31, 2017 for Company B.

Assets

Liabilities

2c. What is net income for year 2017 for Company B.

Statement of Shareholder's Equity

Equity, December 31, 2016

Question 3

3. Compute the amount of assets for Company C on December 31, 2017. (Enter Losses amount with a minus sign, wherever required.)

December 31, 2016

Assets

Liabilities

Statement of Shareholder's Equity

Equity, December 31, 2016

Equity, December 31, 2017

December 31, 2017

Assets

Liabilities

Question 4

4. Compute the amount of stock issuances for Company D during year 2017.

December 31, 2016

Assets

Liabilities

December 31, 2017

Assets

Liabilities

Statement of Shareholder's Equity

Equity, December 31, 2016

Equity, December 31, 2017

Question 5

5. Compute the amount of liabilities for Company E on December 31, 2016.

Question 6

Prepare a year-end balance sheet for Armani Company.

Question 7

As of December 31, 2017, Armani Company’s financial records show the following items and amounts.

Prepare the 2017 year-end income statement for Armani Company.

Question 8

As of December 31, 2017, Armani Company’s financial records show the following items and amounts.

Prepare a yearend statement of owner’s equity for Armani Company.

Question 9

Following is selected financial information of Kia Company for the year ended December 31, 2017.

Prepare the 2017 year-end statement of cash flows for Kia Company. (Cash outflows should be indicated with a minus sign.)

Question 10

Lita Lopez started Biz Consulting, a new business, and completed the following transactions during its first year of operations.

a.

Lita Lopez invested $61,000 cash and office equipment valued at $31,000 in the company in exchange for its common stock.

b.

The company purchased an office suite for $46,000 cash.

c.

The company purchased office equipment for $6,000 cash.

d.

The company purchased $3,600 of office supplies and $1,000 of office equipment on credit.

e.

The company paid a local newspaper $970 cash for printing an announcement of the office’s opening.

f.

The company completed a financial plan for a client and billed that client $4,000 for the service.

g.

The company designed a financial plan for another client and immediately collected a $8,600 cash fee.

h.

The company paid $900 cash in dividends to the owner (sole shareholder).

i.

The company received $3,000 cash as partial payment from the client described in transaction f.

j.

The company made a partial payment of $500 cash on the equipment purchased in transaction d.

k.

The company paid $2,100 cash for the office secretary’s wages for this period.

See the colors and just change all the values given above accordinglyl. It will automatically change the answers.

2. Enter the amount of each transaction on individual items of the accounting equation.

3. Determine the company's net income.

Net income