Consider the following events or transactions:

1. Delivered groceries and received a personal check.

2. Took a taxi and paid the fare.

3. Gave a refund for defective merchandise.

4. Recorded depreciation.

5. Sold a building,received a note receivable in exchange,and recorded a gain.

6. Made a donation to the Youth Services Community Foundation.

7. Received proceeds of a bank loan.

8. Received title to a classic Corvette in settlement of a customer’s account.

9. Returned merchandise to a supplier for credit.

10. Traded in a used truck and acquired a new truck with the balance owed on account.

11. Found securities in the bottom of an old trunk in the attic that are now worth $100,000.

12. Filed an insurance claim for water damage to inventory.

13. Recorded a loss due to water damage.

14. Received a refund from a supplier who had been overpaid.

Required

a. Show the effects on cash of each transaction or event,using the format below:

Effects on Cash Increase Decrease No Change

b. Show the effects of each transaction or event on revenues or expenses,using a similar format:

Effects on Shareholders’ Equity Revenues (Increase) Expenses (Decrease) No Change?