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Analyze the following transactions and show their effects on the basic accounting equation, by preparing a template as follows: a. Received $240,000 from the issuance
Analyze the following transactions and show their effects on the basic accounting equation, by preparing a template as follows: a. Received $240,000 from the issuance of shares. b. Borrowed $92,000 from the bank at 6% per year. c. Purchased equipment for $196,000. d. Purchased inventory costing $78,000, paying $51,000, with the balance on account. e. (i) Recorded sales of $100,000 (half cash and half on account) to customers. (ii) The inventory related to these sales had a cost of $47,000. f. Paid $21,600 to suppliers related to the purchase on inventory in transaction (d). g. Paid $3,600 in wages to employees. h. Repaid loan principal of $3,680 plus interest of $1,104 related to the bank loan. i. Recorded depreciation of $22,600 on the company's equipment. j. Declared dividends of $8,400
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