Fundamentals of Financial Accounting 4th Edition by Fred Phillips,Robert Libby,Patricia Libby

Exercise 44

Financial Reporting of Write-off, Depreciation, Bond Issuance and Common Stock Issuance, Purchase, Reissuance, and Cash Dividends (Chapters 8, 9, 10 and 11)
American Laser, Inc., reported the following account balances on January 1, 2013.

The company entered into the following transactions during 2013.

Required:
1. Analyze the effects of each transaction on total assets, liabilities, and stockholders' equity.
2. Prepare journal entries to record each transaction.
3. Prepare the noncurrent liabilities and stockholders' equity sections of the balance sheet at December 31, 2013. At the end of 2013, the adjusted net income was $20,000.