Business Sim Corp. (BSC) issued 1,000 common shares to Kelly in exchange for $15,000. BSC borrowed $36,000 from the bank, promising to repay it in two years. BSC purchased computer equipment for $47,000, signing a six-month note for $6,000, and paying the balance with check number 101. BSC received $750 of supplies purchased on account. BSCs loan contains a clause (covenant) that requires BSC to maintain a ratio of current assets to current liabilities of at least 1.5.

Required: 1. Identify the transactions and analyze their accounting equation effects. (Enter any decreases to account balances with a minus sign.) X Answer is not complete. Assets Liabilities + Stockholders' Equity Common Stock 15,000 1. 2. 3. 15,000 36,000 Cash Cash Equipment Cash Supplies Totals 47,000 (41,000) 750 57,750 Notes Payable (long-term) Notes Payable (short-term) Accounts Payable X 36,000 X 6,000 4. 750 42,750 15,000