During 2014, Damon Corp. entered into the following transactions. 1. Borrowed $60,000 by issuing bonds. 2. Paid $9,000 cash dividend to stockholders. 3. Received $13,000 cash from a previously billed customer for services performed. 4. Purchased supplies on account for $3,100.

Using the following tabular analysis, show the effect of each transaction on the accounting equation. Put explanations for changes to Stockholders’ Equity in the right-hand margin.
For Retained Earnings, use separate columns for Revenues, Expenses, and Dividends if necessary. Use Illustration 3-3 (page 110) as a model.
Assets 5 Liabilities 1 Stockholders’ Equity Accounts Accounts Bonds Common Retained Cash 1 Receivable 1 Supplies 5 Payable 1 Payable 1 Stock 1 Earnings.

AppendixLO1