1 -Write the accounting equation of the following transactions:

a). E. Mande invested $ l50,000 in the business.

b). Bought pieces of furniture from Garcia Furniture on credit $25,000.

c). Bought for cash repair supplies worth $ 5,000.

d). Paid the rent of the shop, $7,000.

e). Billed S. Roces for repair services done on his automobile.

f). Bought repair equipment from XYZ Trading on credit, $20,000.

g). Paid the wages of the shop helper, $2,000.

h). Paid one-half of the account due to Garcia Furniture.

I). Received $7500 cash for repairing the car of S. Valdez.

j). Received $3,500 from S. Roces as partial payment of his account.

k). Withdrew $3 ,500 cash from the business for personal use.

2. On May 6, Mr. Zuzoka pays us 6,000,000 for the purchase of our products. The product should be delivered 1/3 directly, 1/3 at the beginning of june and 1/3 at the beginning of July. At the end of May, only 1/3 of the sales were actually earned as the other 2/3 will be delivered in June and July. Prepare fairly presented financial statements of May 31 using .

1) The Income method

2) The Liability method