CP$10-1($Algo$)$ Determining Financial Effects of Transactions Affecting Current Liabilities with Evaluation of Effects on the Debt$-$to$-$Assets Ratio $[$LO $10-2,$ LO $10-5]$

EZ Curb Company completed the following transactions. The annual accounting period ends December $31.$

January $8$ Purchased merchandise on account at a cost of $$19,500.($Assume a perpetual inventory system.$)$

January $17$ Paid for the January $8$ purchase.

April $1$ Received $$48,800$ from National Bank after signing a $12-$month, $11\mathrm{.}5$ percent, promissory note.

June $3$ Purchased merchandise on account at a cost of $$23,500.$

July $5$ Paid for the June $3$ purchase.

July $31$ Rented out a small office in a building owned by EZ Curb Company and collected six months$$ rent in advance, amounting to $$9,300.($Use an account called Deferred Revenue.$)$

December $20$ Collected $$210$ cash on account from a customer.

December $31$ Determined that wages of $$8,700$ were earned but not yet paid on December $31($Ignore payroll taxes$).$

December $31$ Adjusted the accounts at year$-$end, relating to interest.

December $31$ Adjusted the accounts at year$-$end, relating to rent.

Required:

For each listed transaction and related adjusting entry, indicate the accounts, amounts, and effects on the accounting equation.

For each transaction and related adjusting entry, indicate whether the debt$-$to$-$assets ratio is increased or decreased or there is no change. $($Assume EZ Curb Company$$s debt$-$to$-$assets ratio has always been less than $1\mathrm{.}0.)$