Skip to content

Textbook examples

Joan Robinson law office

From "Accounting Principles" by Weygandt, Kimmel and Kieso (ed 12, p. 31).

Joan Robinson opens her own law office on July 1, 2017. During the first month of operations, the following transactions occurred.

  1. Joan invested $11,000 in cash in the law practice.
  2. Paid $800 for July rent on offi ce space.
  3. Purchased equipment on account $3,000.
  4. Performed legal services to clients for cash $1,500.
  5. Borrowed $700 cash from a bank on a note payable.
  6. Performed legal services for client on account $2,000.
  7. Paid monthly expenses: salaries and wages $500, utilities $300, and advertising $100.
  8. Joan withdrew $1,000 cash for personal use.

Solution: click here.

Yazici Advertising

From "Intermediate Accounting. IFRS Edition" by Weygandt, Kimmel and Warfiled. Illustration 3-10 to 3-20.

Solution: click here.

AccountingCoach.com

Direct Delivery sample transactions 1-6 from accountingcoach.com.

bx unlink --yes
bx init
bx post --entry asset:cash capital:common_stock 20000 --title "1. Owner's investment"
bx post --entry asset:vehicles cash             14000 --title "2. Purchased vehicle"
bx post --entry asset:prepaid_insurance cash     1200 --title "3. Bought insurance"
bx post --entry cash income:services               10 --title "4. Accepted cash for provided services"
bx post --entry asset:ar services                 250 --title "5. Provided services on account"
bx post --entry expense:agency liability:ap        80 --title "6. Purchased services on account"
bx close
bx chart name ar "Accounts receivable"
bx chart name ap "Accounts payable"
bx chart name agency "Temporary help agency"
bx report --all

                    Balance sheet
Assets                 20260  Capital              20180
  Cash                  4810    Common stock       20000
  Vehicles             14000    Retained earnings    180
  Prepaid insurance     1200  Liabilities             80
  Accounts receivable    250    Accounts payable      80
Total                  20260  Total                20260

                    Income Statement
Income                                               260
  Services                                           260
Expenses                                              80
  Temporary help agency                               80
Current profit                                       180