For each transaction in M2-4 (including the sample), post the effects to the appropriate T accounts and determine ending account balances. Beginning balances are provided.

M2-4

For each of the following transactions of Dennen Inc. for the month of January 2018, indicate the accounts, amounts, and direction of the effects on the accounting equation. A sample is provided.a. (Sample)?Borrowed?$30,000?from a?local?bank.b.?Lent?$10,000?to an affiliate; accepted a note due in one year.c.?Sold?100?additional?shares to investors for?$500?cash.d. Purchased $15,000 of equipment, paying $5,000 cash and signing a note for the rest due in one year.e.?Declared?and paid?$2,000?in?dividends?to shareholders.

Transcribed Image Text:

Cash Equipment Accounts Receivable Beg. bal. Beg. bal. Beg. bal. 15,100 900 1,000 Retained Earnings Beg. bal. Contributed Capital Beg. bal. Notes Payable Beg. bal. 3,000 4,000 10,000 Shareholders' Equity Assets Liabilities a. Sample: Cash 130,000 Notes payable 130,000