Presented Below Are the Balances,listed in Alphabetical Order,of Ferb Products,at

question 28

Essay

Presented below are the balances,listed in alphabetical order,of Ferb Products,at December 1,
20X9:
$\begin{array} { l l } \text { Accounts Payable } & \$ 1,100 \\\text { Accounts Receivable } & 4,000 \\\text { Cash } & 7,300 \\\text { Land } & 15,300 \\\text { Machinery } & 31,600 \\\text { Merchandise Inventory } & 12,200 \\\text { Long-term Debt Payable } & 20,700 \\\text { Note Payeble } & 2,200 \\\text { [aid-in Capital } & 39,400\end{array}$
Following are the transactions for Ferb Products for the month of December 20X9:
a.Borrowed an additional $1,300 in notes payable.
b.Collected $1,900 from credit customers.
c.Paid $2,600 of the amount owed on account.
d.The owners contributed $12,000 cash in exchange for capital.
Required:
1.Prepare an analysis of the transactions on the balance sheet equation.
2.Prepare a balance sheet as of December 31,20X9,considering the beginning balances and incorporating the effects of the December,20X9 transactions.

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Definitions:

Supplies

Items used in the operation of a business that are consumed or exhausted over time.

Accounts

Recordings within an accounting system that track financial transactions and their effects on specific assets, liabilities, equity, revenues, and expenses.

Balances

Refers to the amount of money in a financial account, the difference between debit and credit totals in an account, or the amount remaining unpaid on a debt.

Business Enterprises

Organizational entities engaged in commercial, industrial, or professional activities, aiming to generate profits from their operations.