Exercise 2-7 Pharoah Company had the following selected transactions. 1. 2 3. Kris Rockford invested 7,306 cash in the business in exchange for ordinary shares. Paid office rent of 1,607. Performed consulting services worth 6,867 on account. Declared and paid a 1,023 cash dividend. 4 (a) Indicate the effect each transaction has on the accounting equation, (Assets = Liabilities + Equity), using plus and minus signs. Assets = Liabilities + Equity 1. 2 seck 3 (b) Journalize each transaction. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter o for the amounts.) No. Account Titles and Explanation Debit Credit 1. 2. 3. 4