Larry Bar opened a frame shop and completed these transactions: Larry started the shop by investing $41,300 cash and equipment valued at $19,300 in exchange for common stock. Purchased $200 of office supplies on credit. Paid $2,500 cash for the receptionist's salary. Sold a custom frame service and collected $5,800 cash on the sale. Completed framing services and billed the client $330. What was the balance of the cash account after these transactions were posted?

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Dryomys Dryomys · Answer 1 · 2020-01-23T05:16:43+01:00

Answer:

$44,600

Explanation:

Balance of the cash account after these transactions were posted:

= Cash brought in by Larry Bar - payment of salary to receptionist + receipt of cash for sale

= $41,300 - $2,500 + $5,800

= $44,600

Note: There is no cash in the remaining transactions.

Therefore, the ending cash balance is $44,600.

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monica789412 monica789412 · Answer 2 · 2020-01-23T11:03:07+01:00

1) 44,100

2)An increase in dividend in dividend account

3)Accounts receivable

4)$60,500

Explanation:

1)

Determine the ending cash balance as shown in the table 1 attached

Note :there is no cash flow in the remaining transactions

Therefore, the ending cash balance is $44,00.

2)

The dividend account normally has a debit balance. The balancer in divided account increases when it is debited and decreases when credited.

Therefore, the debit is used to record the increase in divided account.

3)

Unearned revenue and accounts payable is classified under liabilities.

service revenue is classified under stockholders' equity.

Accounts receivable represents the amount due from the customers and is classified under asset.

4)

Determine the ending balance of accounts receivable accounts in the table 4

note : the cash collected for service to be provided will not affect the account receivable account.

therefore, value is $ 60,500.