6 (Revision of ACCTG 102) In the answer booklet, you are provided with nine transactions that occurred in July. You are required to: 1. Complete the journal entries for the July transactions. GST does not apply to this question. 2. Determine the net effect (state increase or decrease) of these July transactions on the entity's cash balance. In your workings, you must show the total cash inflow and the total cash outflow amounts. 3. Determine the dollar effect caused by the nine transactions by completing the table in the answer booklet. Some answers have been included to help you. 4. Briefly (under 30 words) explain why your profit for July did not equal your July cash increase. Question 6 continued: 3. Determine the dollar effect caused by the nine transactions: Specific GL account affected: Transaction increased a liability AP Transaction decreased a liability Net effect on total liabilities Transaction increased an asset Workings: $ amount 3 000 Cr Total Dr/Cr $ effect Inventory 3 000 Dr Transaction decreased an Cash 1 300 Cr asset Net effect on total assets A-L=Net assets change Transaction increased an income item Sales Transaction decreased an Income item Transaction increased an COGS expense Transaction decreased an expense Determine the profit or loss for July. Determine the effect on total equity for July S Cr S Dr $4 578 Dr Question 6 continued: 4. Briefly (under 30 words) explain why your profit for July did not equal your July cash increase