Chapter 1
Financial Statements: Personal Accounting
24
Review Exercise
Complete the T-account worksheet on the opposite page for the following transactions and
calculate ending net worth.
Opening balances
Cash
$3,000
Contents of Home
3,000
House
100,000
Mortgage
70,000
Net Worth
36,000
Transactions for the month of January
1. Earned and deposited $2,000 salary
2. Earned and deposited $300 from providing tutoring services
3. Paid $300 cash for food
4. Went out for dinner and a show and spent $200 cash
5. Purchased new clothes with $100 cash
6. Paid $500 cash for maintenance on the house
7. Paid $100 cash for utilities
8. Deposited lottery winnings of $600
9. Received cash gift of $150
