Using the Following Transactions,calculate (A)the Ending Balance of Cash, (B)the

question 44

Essay

Using the following transactions,calculate (A)the ending balance of Cash, (B)the ending balance of Accounts Receivable, (C)total liabilities,and (D)Stockholders' Equity at the end of the period.For parts a,b,and d,indicate whether each balance is debit or credit.
a.Began doing business by selling shares of common stock to investors for $50,000 in cash.
b.Billed customers for services rendered,$10,000.
c.Paid for six months' subscription in advance,$2,500.
d.Received advertising bill,to be paid next week,$500.
e.Dividends of $4,000 were paid to common stock holders.
f.Received $7,500 from customers billed in b.
g.Paid half of advertising bill.
h.Received $1,000 in advance of performing a service.

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Definitions:

Certain Income

A guaranteed or fixed amount of earnings that an individual or entity can expect to receive over a specific time period.

Uncertain Income

Income that is not guaranteed or fixed, often subject to fluctuations due to various factors such as employment status, market conditions, or performance.

Marginal Utility

The additional satisfaction or utility that a consumer gains from consuming one more unit of a good or service.

Income

The money received, typically on a regular basis, for work or through investments.