Below are several transactions for Crimson Tide Corporation. A junior accountant, recently employed by the company, proposes to record the following transactions.

Required:
Assess whether the junior accountant correctly proposes how to record each transaction. If incorrect, provide the correction?

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External Transaction Accounts Credit Debit 700 2,400 400 300 1,100 1. Pay cash dividends of $700 to Cash 2. Provide services on account for 3. Pay a $400 utilities bill for the 4. Receive cash of $300 from previously 5. Pay for supplies previously stockholders. customers, $2,400 current period. billed customers. purchased on account, $1,100 Cash Utilities Expense Cash Supplies Expense Dividends Service Revenue Cash 700 2,400 400 300 1,100 Service Revenue Cash