Analyze business transactions and the effect on the financial statements. The following business transactions occurred during Gator's Antiques Inc.'s first month of business. (LO 2, 4)

1. Philip Gator began his antique business by depositing \(\$ 15,000\) into the business checking account. He received common stock in exchange.

2. Gator's Antiques provided services to customers for \(\$ 25,000\).

3. The company paid travel expenses in the amount of \(\$ 700\).

4. Gator's Antiques borrowed \(\$ 1,000\) from the bank for operating capital.

5. The company purchased \(\$ 150\) worth of office supplies (for future use) from Office Market for cash.

6. During the month, Gator's paid \(\$ 3,500\) for operating expenses.

7. The company paid monthly rent on the retail space in the amount of \(\$ 500\).

8. The company paid the staff \(\$ 1,200\).

9. The company paid a dividend of \(\$ 100\) to the owner, Philip Gator.

10. On the last day of the month, Gator's purchased equipment costing \(\$ 7,500\) by signing a note payable with the bank.

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For each transaction (items 1-10), do the following:

a. Identify whether it is an operating, investing, or financing transaction.

b. Determine whether there is an increase, decrease, or no effect on the total assets of the business.

c. Determine whether there is an increase, decrease, or no effect on net income.

d. Indicate on which financial statement each amount would appear: the income statement (IS), the balance sheet (BS), the statement of changes in shareholder's equity (OE), or the statement of cash flows (CF). (Some will be shown on more than one statement.)