"What If?" Card Challenge - Y10 Acctg

Card no.1

100

Scenario: The owner, Alex, starts a new business called "Alex's Tutoring." Alex deposits $5,000 of their own personal savings into the business bank account.

Asset (Bank) and Owner's Equity (Capital) = both increase by $5,000

Card no.2

100

Scenario: Alex's Tutoring buys a new laptop for $800 using cash from the business bank account.

Asset (Bank) and Asset (Equipment) = Bank decreases by $800 and Equipment increases by $800

Card no.3

100

Scenario: Alex's Tutoring buys textbooks for $300 from "BookWorld" on credit. (This means they will pay for them later).

Asset (Inventory) & Liability (Creditor) = both increase by $300

Card no. 4

100

Scenario: Alex's Tutoring pays the $300 it owes to "BookWorld" using cash from the business bank account.

Asset (Bank) & Liability (Creditor) = both decrease by $300

Card no.5

100

Scenario: Alex's Tutoring pays $100 in cash for an advertisement in the local newspaper.

Asset (Bank) & Owner's Equity (Expense) = both increase by $100

Card no.6

100

Scenario: Alex's Tutoring provides tutoring services to a student and receives $200 in cash immediately.

Asset (Bank) & Owner's Equity (Sales/Revenue) = both increase by$200

Card no. 7

100

Scenario: Alex's Tutoring provides tutoring services to a student on credit for $150. (The student promises to pay next week).

Asset (Trade Receivable) & Owner's Equity (Sales/Revenue) = both increase by $150

Card no.8

100

Scenario: Alex takes $50 from the business bank account to buy a birthday present for their friend.

Asset (Bank) & Owner's Equity (Drawings) = both decrease by $50