Effects of a Series of Transactions on Balance Sheet Items

question 100

Essay

Effects of a series of transactions on balance sheet items
Fieldstone, Inc. had the following transactions during the month of March, the first month of operations for the business:
* The corporation issued 12,000 shares of capital stock to Sandy Fieldstone in exchange for $120,000 cash.
* Purchased $73,000 of equipment; made a $18,000 down payment and signed a note payable for the balance.
* Made payment of $9,000 on the amount owed for equipment.
(A.) Compute the balance in the Cash account at the end of March.
(B.) What are the total assets of Fieldstone, Inc. at the end of March?
(C.) Compute the balance in the Notes Payable account at the end of March.
(D.) What is the total amount of owners' equity at the end of March?

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Definitions:

Ad Valorem Tariffs

A type of tariff calculated as a percentage of the value of the imported goods, as opposed to a fixed fee per unit.

Specific Tariffs

Taxes imposed on imported goods at a specific rate per unit, such as per ton or per item, instead of a percentage of value.

Tariff

A tax imposed on imported goods to protect domestic industries or to generate revenue.

Imports

Goods and services bought by residents of a country from other countries.