P 1-27A (20-25 min.

Req. 1 Account Title Type of Account

Cash Asset
Insurance Expense Expense
Land Asset
Office Furniture Asset
Accounts Payable Liability
Utilities Expense Expense
Notes Receivable Asset
Interest Expense Expense
Office Supplies Asset
Note Payable Liability
Salary Expense Expense
Req. 2 Accounts Receivable Asset
Owner Equity Owner's Equity
Salary Expense
Balance Sheet
October 31, 2009
Cash $2,400 Accounts payable $3,000
Land 31,500 Notes payable 19,000
Office furniture 6,700
Office supplies 800 Total Liabilities $22,000
Accounts receivable 2,600 Owner's equity $25,000
Notes receivable 3,000
Total Assets $47,000 Total Liabilities and Owner's Equity $47,000

Total Assets $47,000

- Total Liabilities ($22,000)
= Owner's Equity (capital) $25,000