In june 2011, wendy winger organized a corporation to provide aerial

In June 2011, Wendy Winger organized a corporation to provide aerial photography services. The company, called Aerial Views, began operations immediately. Transactions during the month of June were as follows:

June 1   The corporation issued 60,000 shares of capital stock to Wendy Winger in exchange for $60,000 cash.

June 2   Purchased a plane from Utility Aircraft for $220,000. Made a $40,000 cash down payment and issued a note payable for the remaining balance.

June 4   Paid Woodrow Airport $2,500 to rent office and hangar space for the month.

June 15   Billed customers $8,320 for aerial photographs taken during the first half of June.

June 15   Paid $5,880 in salaries earned by employees during the first half of June.

June 18   Paid Hannigan’s Hangar $1,890 for maintenance and repair services on the company plane.

June 25   Collected $4,910 of the amounts billed to customers on June 15.

June 30  Billed customers $16,450 for aerial photographs taken during the second half of the month.

June 30    Paid $6,000 in salaries earned by employees during the second half of the month.

June 30   Received a $2,510 bill from Peatree Petroleum for aircraft fuel purchased in June. The entire amount is due July 10.

June 30   Declared a $2,000 dividend payable on July 15.

The account titles used by Aerial Views are:

Cash

Accounts Receivable

Aircraft

 Notes Payable

Accounts Payable

Dividends Payable

 Capital Stock

Retained Earnings

Dividends

Aerial Photography Revenue

Maintenance Expense

Fuel Expense

Salaries Expense

Rent Expense

A. Analyze the effects that each of these transactions will have on the following six components of the company’s financial statements for the month of June. Organize your answers in tabular form using the column headings shown. Use I for increase, D for decrease, and NE for no effect. The June 1 transaction is provided for you:

Income Statement                                                 Balance Sheet

Transaction      Revenue – Expenses = Net Income     Assets = Liabilities + Owners’ Equity

June1               NE       NE                   NE                   I                      NE                   I

B. Prepare journal entries (including explanations) for each transaction.

C. Post each transaction to the appropriate ledger accounts (use a running balance format)

D. Prepare a trial balance dated June 30, 2011.

E. Using figures from the trial balance prepared in part d, compute total assets, total liabilities, and owners equity. Are these the figures that the company will report in its June 30 balance sheet? Explain your answer briefly.

Prime Paper Help
Calculate your paper price
Pages (550 words)
Approximate price: -

Why Work with Us

Top Quality and Well-Researched Papers

We always make sure that writers follow all your instructions precisely. You can choose your academic level: high school, college/university or professional, and we will assign a writer who has a respective degree.

Professional and Experienced Academic Writers

We have a team of professional writers with experience in academic and business writing. Many are native speakers and able to perform any task for which you need help.

Free Unlimited Revisions

If you think we missed something, send your order for a free revision. You have 10 days to submit the order for review after you have received the final document. You can do this yourself after logging into your personal account or by contacting our support.

Prompt Delivery and 100% Money-Back-Guarantee

All papers are always delivered on time. In case we need more time to master your paper, we may contact you regarding the deadline extension. In case you cannot provide us with more time, a 100% refund is guaranteed.

Original & Confidential

We use several writing tools checks to ensure that all documents you receive are free from plagiarism. Our editors carefully review all quotations in the text. We also promise maximum confidentiality in all of our services.

24/7 Customer Support

Our support agents are available 24 hours a day 7 days a week and committed to providing you with the best customer experience. Get in touch whenever you need any assistance.

Try it now!

Calculate the price of your order

Total price:
$0.00

How it works?

Follow these simple steps to get your paper done

Place your order

Fill in the order form and provide all details of your assignment.

Proceed with the payment

Choose the payment system that suits you most.

Receive the final file

Once your paper is ready, we will email it to you.

Our Services

No need to work on your paper at night. Sleep tight, we will cover your back. We offer all kinds of writing services.

Essays

Essay Writing Service

No matter what kind of academic paper you need and how urgent you need it, you are welcome to choose your academic level and the type of your paper at an affordable price. We take care of all your paper needs and give a 24/7 customer care support system.

Admissions

Admission Essays & Business Writing Help

An admission essay is an essay or other written statement by a candidate, often a potential student enrolling in a college, university, or graduate school. You can be rest assurred that through our service we will write the best admission essay for you.

Reviews

Editing Support

Our academic writers and editors make the necessary changes to your paper so that it is polished. We also format your document by correctly quoting the sources and creating reference lists in the formats APA, Harvard, MLA, Chicago / Turabian.

Reviews

Revision Support

If you think your paper could be improved, you can request a review. In this case, your paper will be checked by the writer or assigned to an editor. You can use this option as many times as you see fit. This is free because we want you to be completely satisfied with the service offered.