Effect of journal entries on financial statements

Required
The preceding 13 different accounting events are presented in general journal format. Use a horizontal statements model to show how each event affects the balance sheet, income statement, and statement of cash flows. Indicate whether the event increases (+), decreases (-), or does not affect (NA) each element of the financial statements. Also, in the Cash Flow column, use the letters OA to designate operating activity, IA for investing activity, and FA for financing activity.
The first event is recorded as an example.

Transcribed Image Text:

Event No Account Title Debit Credit Cash Common Stock Accounts Receivable Service Revenue XxX Cash Accounts Receivable Supplies Accounts Payable Cash Unearned Revenue Cash Service Revenue Property Tax Expense Prepaid Rent Salaries Expense Cash Cash Cash Unearned Revenue Service Revenue Rent Expense Supplies Expense Dividends Prepaid Rent Supplies Cash XxX 12 13 Assets = Liab. + Equity Rev. - Exp. = Net Inc. Cash Flow NA NA NA NA + FA