I need help with a couple of accounting questions on my homework.

1) Barnaby company experienced the following transactions during 2007, its first year in operation. 1. Issued $3,000 of common stock to stockholders
2. Provided $1,200 of services on account 3. Paid $800 cash for operating expenses 4. Collected $900 of cash from accounts recievable 5. Paid a $50 cash dividend to stockholders
The total amount of assets shown on Barnaby Company's 2007 balance sheet is: a) $3,100 b) $3,400 c) $3,350 d) None of these
With this one I am gueesing it is d) None of these. I am determining it by saying the assets are(3000 + 1200 + 900 - 800 - 50) = 4250. Am I correct? If not please explain how to get the right answer.
2) An increase in cash that is accompanied by an increase in notes payable is a/an: a) claims exchange transaction b) asset source transaction c) asset use transaction d) asset exchange transaction
I am guessing it is d) asset exchange transaction but I have no real basis for my answer other than it sounds right. Any ideas?
Last one... 3) Sperry Company was started on January 1, 2007 when $8,500 cash was acquired by issuing stock to investors. Also, on January 1, 2007, the company purchased office equipment for cash at a cost of $5,200. The equipment had a five year useful life and a $1,000 salvage value. Sperry earned $1,500 cash revenue during 2007 and $1,500 in cash revenue in 2008.
Determin the amount of cash flow from operating activities on the 2007 financial statements. a) $1,500 b) $660 c) ($5,200) d) ($3,700)
My guess on this one is that it would be d) ($3,700). My reasoning is ($5,200 - $1,500). Am I correct? If not can you explain it to me?
Thanks for any help. I am in an online course with very little instructor feedback so any help is greatly appreciated.
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Collecting A/R doesn't change total assets, it's just movement from one asset account to another.
Re-Do the math and see what you get.

I'll bet it's in your book.
Assets go up as well as liabilities. What does that tell you.

Remember that "operations" is just that. The providing of goods or services. What items fall under "operations" as opposed to say.......capital or investing.

There are trade-offs.
--
Paul A. Thomas, CPA
Watkinsville, Georgia
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Thanks for helping and not just giving answers. =)
1) From what you said I have determined that the answer to the first one is actually c) $3,350. Your comment about collecting A/R helped me out with a bunch of other problems as well. Awesome.
2) Yeah, I finally found this one in my book in one of those side bars...grrrr...Anyway it was asset source transaction.
3) I think I have it now. When a company purchases equipment that it will be using for more than one accounting period(year) it is a productive asset that would be part of an Investing Activity but if it will be used in a single reporting period like common office supplies it would be an Operating Activity. In that case I would say that the answer would be a) $1,500.
Thanks for your help. I will be posting a couple more in a new thread in a little while for some feedback if you have time.
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Regarding online courses: that is how I learned accounting at all levels. Since you don't have the benefit of two-way conversations with your professors, you learn how to research and find answers as you did here. However, if you are thinking of continuing with more advanced accounting courses online, I suggest that you purchase the optional study guides that usually accompany the textbooks. Good study guides will give many examples and break them down step by step.
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