Course: Financial Accounting and Principles.

Q No 2: Hamza owns & operates an interior design studio called Hamza Interiors. The following amounts summarize the financial position of his business on May 31, 2021: (7)

	Assets							=	Liabilities	+	Owner's Equity
	Cash	+	Accounts Receivable	+	Supplies	+	Land	=	Accounts Payable	+	Hamza, Capital
Bal.	2,250		1,500				12,000		8,000		7,750

During June 2021, the following events occurred.

1. Hamza inherited $20,000 and deposited the cash in the business bank account.
2. Performed services for a client and received cash of $700.
3. Paid off the beginning balance of accounts payable.
4. Purchased supplies on account, $1,000.
5. Collected cash from a customer on account, $1,000.
6. Invested personal cash of $1,000 in the business.
7. Withdrew cash of $1,100 for personal use.

Required

1. State whether the above transactions are Cash or Credit or Mixed transactions
2. Analyze the effects of the preceding transactions