# Dynamic services Inc. was organized on March 1 by two former college roommates. The corporation will provide computer tax services to small businesses. T

Dynamic services Inc. was organized on March 1 by two former college roommates. The corporation will provide computer tax services to small businesses. The following transactions occurred during the first month of operations: Prepare a table to summarize the preceding transactions as they affect the accounting equation. Use the format in Exhibit 3-1. Identify each transaction with the date. Prepare an income statement for the month of March. Prepare a classified balance sheet at March 31. From reading the balance sheet you prepared in part (3), what events would you expect to take place in April? Explain your answer.

 1 DYNAMIC SERVICE INC. TRANSACTIONS FOR THE MONTH OF MARCH Assets = Liabilities + Stockholders’ Equity Accounts Accounts Notes Capital Retained Date Cash Receivable Computer Supplies Payable Payable Stock Earnings 2/3 \$20,000.00 \$20,000.00 7/3 \$7,500.00 \$7,500.00 Bal. \$27,500.00 \$- \$- \$- \$- \$7,500.00 \$20,000.00 \$- 12/3 \$350.00 \$350.00 Bal. \$27,500.00 \$- \$- \$350.00 \$350.00 \$7,500.00 \$20,000.00 \$- 19/3 \$2,000.00 \$2,000.00 Bal. \$27,500.00 \$2,000.00 \$- \$350.00 \$350.00 \$7,500.00 \$20,000.00 \$2,000.00 20/3 \$(650.00) \$(650.00) Bal. \$26,850.00 \$2,000.00 \$- \$350.00 \$350.00 \$7,500.00 \$20,000.00 \$1,350.00 22/3 \$500.00 \$(500.00) Bal. \$27,350.00 \$1,500.00 \$- \$350.00 \$350.00 \$7,500.00 \$20,000.00 \$1,350.00 26/3 \$1,400.00 \$1,400.00 Bal. \$28,750.00 \$1,500.00 \$- \$350.00 \$350.00 \$7,500.00 \$20,000.00 \$2,750.00 29/3 \$(4,000.00) \$4,000.00 Bal. \$24,750.00 \$1,500.00 \$4,000.00 \$350.00 \$350.00 \$7,500.00 \$20,000.00 \$2,750.00 30/3 \$(1,650.00) \$(1,650.00) Bal. \$23,100.00 \$1,500.00 \$4,000.00 \$350.00 \$350.00 \$7,500.00 \$20,000.00 \$1,100.00 31/3 \$(700.00) \$(700.00) Bal. \$22,400.00 \$1,500.00 \$4,000.00 \$350.00 \$350.00 \$7,500.00 \$20,000.00 \$400.00 TOTAL ASSETS: \$28,250 TOTAL LIABILITIES AND \$28,250 STOCKHOLDERS’ EQUITY: 2 DYNAMIC SERVICE INC. INCOME STATEMENT FOR THE MONTH ENDED MARCH 31 Revenues: Tax prep Services \$2,000.00 Services \$1,400.00 \$3,400.00 Expenses: Advertising \$650.00 Gas/Electric/Water blls \$700.00 Salaries & Wages \$1,650.00 \$3,000.00 Net income \$400.00 3 DYNAMIC SERVICE INC. BALANCE SHEET Assets Current assets: Cash \$22,400.00 Accounts Receivable \$1,500.00 Supplies \$350.00 Total current assets \$24,250.00 Property, plant, and equipment: Equipment—Computer system \$4,000.00 Total assets \$28,250.00 Liabilities and Stockholders’ Equity Current liabilities: Accounts Payable \$350.00 Long-term debt: Notes Payable \$7,500.00 Total liabilities \$7,850.00 Capital stock \$20,000.00 Retained earnings \$400.00 Total stockholders’ equity \$20,400.00 Total liabilities and stockholders’ equity \$28,250.00 4.The company has huge cash balance which should be invested in an efficient way.It can also be used to pay off the company’s liabilities

Don't use plagiarized sources. Get Your Custom Essay on
Dynamic services Inc. was organized on March 1 by two former college roommates. The corporation will provide computer tax services to small businesses. T
Get an essay WRITTEN FOR YOU, Plagiarism free, and by an EXPERT!
Order NOW For a 10% Discount!
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.

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.

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?

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

Proceed with the payment

Choose the payment system that suits you most.

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.

## 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.