Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Deliberate Speed Corporation (OSC) was incorporated as a private company. The company's accounts included the following at June 30 Accounts Payable Buildings Cash Common Stock
Deliberate Speed Corporation (OSC) was incorporated as a private company. The company's accounts included the following at June 30 Accounts Payable Buildings Cash Common Stock Equipment Land Notes Payable (long-term) Retained Earnings Supplies During the month of July, the company had the following activities: a. Issued 5,600 shares of common stock for $560.000 cash b. Borrowed $106,000 cash from a local bank, payable in two years c. Bought a building for $240,250, paid $90,250 in cash and signed a three year note for the balance. d. Paid cash for equipment that cost $261,000. e Purchased supplies for $33,250 on account. Required: 1. Analyze transactions (a)-(e) to determine their effects on the accounting equation (Enter any decreases to account balances with a minus sign.) Assets Cash 56,750 Supplies 9.700 Buildings Equipment 196,000 148,000 Land 201.000 Accounts Payable 24.900 Notes Notes Payable 3 050 Stockholder's Equity Common Retained Earnings 160,000 423 500 Beg
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started