PWC Motorsports, Inc., a corporation, sells and services personal watercraft. The business experienced the following events. State whether each event
(a) Increased,
(b) Decreased, or
(c) Had no effect on the total assets of the business, and identify the asset(s) involved in each transaction.
1. PWC Motorsports, Inc., sold additional stock to stockholders.
2. Paid cash to purchase land as a building site.
3. Paid cash on accounts payable.
4. Purchased machinery and equipment; signed a promissory note in payment.
5. Performed service for a customer on account.
6. Paid cash to the stockholders as a distribution of earnings.
7. Received cash from a customer on account.
8. Sold land for a price equal to the cost of the land; received cash.
9. Borrowed money from the bank.