Riko Ltd. has the following selected transactions:

1. Issued common shares to shareholders in exchange for $5,000.

2. Paid rent in advance for two months, $2,100.

3. Paid administrative assistant $500 salary.

4. Billed clients $1,200 for services provided.

5. Received $900 in partial payment from clients for services provided in item 4 above.

6. Purchased $500 of supplies on account.

7. Paid supplier amount owing on account, $500.

8. Borrowed $1,000 cash from the bank to purchase equipment.

For each transaction, indicate

(a) The basic type of account debited or credited (asset, liability, shareholders' equity);

(b) The specific account debited or credited;

(c) Whether the specific account is increased or decreased when recording this transaction. Use the following format, in which the first one has been done for you as an example:

Transcribed Image Text:

Account Debited Account Credited Transaction Basic Type Asset Specific Effect Account Specific Effect Account Basic Type 1. CashIncrease Shareholders' Common Increase equity Shares