Answer Questions (show the effect of the transaction on each element) Short I- increase D- decrease N- no effect 5 pts- 7 correct 4 pts 6 correct 3 pts 4-5 correct 2 pts- 2-3 correct 1 pts- 1 correct 0 pts- 0 correct Bella Co. sold merchandise to a customer for $2,400, cash. The merchandise had originally cost $1,800 Cash Assets Liabilities Equity Revenues Expenses Net Income On January 1, 2012, Hartnett Company carries inventory at the lower of cost or market on an aggregate basis. The cost of the inventory was $19,456 but the current market value is $18,500. Assuming the perpetual inventory system is used, how will the write-down affect the financial statements? 2. Assets Liabilities Equity Revenues Expenses Net Income Anna granted a $100 allowance to a customer who was not totally satisfied with the quality of goods received. The customer did not return the goods and had not yet paid for them Cash Assets Liabilities Equity Revenues Expenses Net Income Shelly uses the FIFO inventory cost flow method. When her income tax is paid what is the effect of the entry or the financial statements. Note: no tax liability has been accrued Assets Liabilities Equity Revenues Expenses Net Cash Income While reconciling Snyder Company's bank statement, an accountant discovered a bank service charge of $12. Cash Assets LiabilitiesEquity Revenues Expenses Net Income