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During 2025, its first year of operations as a delivery service, Persimmon Corp. entered into the following transactions. Review the transactions and classify each transaction
During 2025, its first year of operations as a delivery service, Persimmon Corp. entered into the following transactions. Review the transactions and classify each transaction as either an operating activity, investing activity, or financing activity, or if no cash is exchanged, as a non-cash event. 1. 2. 3. 4. 5. 6. 7. 8. 9. Issued shares of common stock to investors in exchange for $100,000 in cash. Borrowed $45,000 by issuing bonds. Purchased delivery trucks for $60,000 cash. Received $16,000 from customers for services performed. Purchased supplies for $4,700 on account. Paid rent of $5,200. Performed services on account for $10,000. Paid salaries of $28,000. Paid a dividend of $11,000 to stockholders. - # + +
During 2025, its first year of operations as a delivery service, Persimmon Corp. entered into the following transactions. Review the transactions and classify each transaction as either an operating activity, investing activity, or financing activity, or if no cash is exchanged, as a non-cash event. 1. 2. 3. 4. 5. 6. 7. 8. 9. Issued shares of common stock to investors in exchange for $100,000 in cash. Borrowed $45,000 by issuing bonds. Purchased delivery trucks for $60,000 cash. Received $16,000 from customers for services performed. Purchased supplies for $4,700 on account. Paid rent of $5,200. Performed services on account for $10,000. Paid salaries of $28,000. Paid a dividend of $11,000 to stockholders. - # + +
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