Accounting Professionals Inc. experienced the following events in 2014, its first year of operation:1. Performed services for $20,000 cash. 2. Purchased $4,000 of supplies on account. 3. A physical count on December 31, 2014, found that there was $1,000 of supplies on hand. RequiredBased on this information alonea. Record the events under an accounting equation. (Enter any decreases to account balances with aminus sign.

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Business

Dangelo

1 August, 04:16

Accounting Professionals Inc. experienced the following events in 2014, its first year of operation:1. Performed services for $20,000 cash. 2. Purchased $4,000 of supplies on account. 3. A physical count on December 31, 2014, found that there was $1,000 of supplies on hand. RequiredBased on this information alonea. Record the events under an accounting equation. (Enter any decreases to account balances with aminus sign.

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Isaac · Answer 1

The accounting equation is presented below:

Particulars Assets = Liabilities = Stockholders equity

Cash Supplies Account payable Retained earnings

1. Service

Performed $20,000 $20,000

2. Supplies

Purchased $4,000 $4,000

3. Supplies

Used - $3,000 - $3,000

Total $20,000 $1,000 $4,000 $17,000