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  • Nov 18, 2014, 07:56 PM
    mohammad_ib
    Accounting
    Transactions for john Hospital for the month of December, 2013 are presented below.
    a. john invested $350,000 to start his business.
    b. Purchased land for $28,000 cash.
    c. Purchased equipment costing $12,000 for $2,000 cash and the remainder on credit.
    d. Purchased supplies on account for $1,800.
    e. Paid $2,000 for insurance.
    f. Invested additional $40,000 cash in the business.
    g. Received $15,000 cash for services performed.
    h. Paid salaries to employees for $2,500.
    I. john withdrew $1,000 cash from the business.

    Required:

    a. Using a table, show the effect of the above transactions on the accounting equation.

    b. Prepare the financial statements of Ahmed Hospital on December 31, 2013.
  • Nov 19, 2014, 05:57 AM
    paraclete
    What problem do you have? Draw up a profit and loss statement and a balance sheet. Your table might show which transactions are P&L and which are balance sheet
    Just to ge you started a,b,c,f,I affect the balance sheet and d,e,g,h affect the P&L, just about everything affects the cash account

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