E3-9 (Algo) Determining Accounting Equation Effects and Net Income [LO 3-2, LO 3-3] Badger World Wide. Incorporated, manufoctures military, work, sport, and casual footwear and leather accessories under a variety of brand names, such as Moth, Lovlies, Walkers, and Bill Ladde. The following transactions occurred during o recent month. a. Made cash sales of $56,000 (example) b. Purchased $3,700 of additional supplies on account. c. Borrowed $67,600 on iong-term notes. d. Purchased $25,500 in additional equipment, paying in cash. e. Incurred $31,200 in selling expenses, paying two thirds in cash and owing the rest on account Paid $9,600 in rent for this month, and also paid $9,600 for next month. Required: 1. For each of the transactions, complete the following table, indicating the account, amount, and direction of the effect (+ for increase and - for decrease) of each transaction under the accrual basis. Include revenues and expenses as subcategories of stockholders' equity, as shown for the first transaction, which is provided as an example. 2. Determine the company's preliminary net income Complete this question by entering your answers in the tabs below. For each of the transactions, complete the following tabie, indicating the account, amount, and direction of the effect ( + for increase and = for of each transaction under the accrual basis. Include revenues and expenses as subcategories of stockholders' equity, as shown for the first trans. which is provided as an example. (Enter any decreases to Assets, Labilites, and Stockholder's Equity with a minus sipn.) Complete this question by entering vour answers in the tabs below. For each of the trahsactions, complete the following table, ind cating the account, amount; and direction of the effect (+ for increase and - for decrease) E3-9 (Algo) Determining Accounting Equation Effects and Net Income [LO 3-2, LO 3-3] Badger World Wide, Incorporated, manufactures military, work, sport, and casual footwear and leather accessories under a variety of a. Made cash sales of $56,000 (example). b. Purchased $3,700 of additional supplies on account. c. Borrowed $67.600 on long-term notes: d. Purchased $25,500 in additional equipment, paying in cash. e. Incurred $31,200 in selling expenses, paying two-thirds in cash and owing the rest on account. 6 Paid $9.600 in rent for this month, and also paid $9,600 for next month. Required: 1. For each of the transoctions, complete the following table, indicating the account, amount, and direction of the effect ( + for increase and - for decrease) of each transaction under the accrual basis. Include revenues and expenses as subcotegories of stockhoiders' equity, as shown for the first transaction, which is provided as an example. 2. Determine the company's preliminary net income. Complete this question by entering your answers in the tabs below. Determine the company's preliminary net income
