In-Class Cash Flow Activity - 6 Steps

In-Class Cash Flow Activity - 6 Steps - 1 Company provided...

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1 . Company provided a service to a customer and collected $1,000 cash from the customer. Action: Post the transaction to the accounts Discuss: Effect on Cash Effect on Net Income Ultimate effect on Retained Earnings
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2. Company provided a $500 service to a customer. The cash will be collected from the customer next year. Action: Post the transaction to the accounts Discuss: Effect on Cash Effect on Accounts Receivable Effect on Net Income Ultimate effect on Retained Earnings
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3 . Company purchased $75 of supplies. The supplies will be consumed immediately. The supplies will not be paid for until next year. Action: Post the transaction to the accounts Discuss: Effect on Cash Effect on Accounts Payable Effect on Net Income Ultimate effect on Retained Earnings
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4 . Calculate ending account balances and close accounts Action: Calculate the ending balances in the Asset and Liability accounts Action: Calculate the Pre-Close balances in the Revenue and
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In-Class Cash Flow Activity - 6 Steps - 1 Company provided...

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