For each categories, there ate three options

*Decrease

*Increase

*No net effect

See Transaction 1

Transactions Assets Liabilities Owners' Equity Net Income 1. Increase Increase No net effect No net effect Purchased inventory for $80,000 on account (assume perpetual system is used). 2 . . Decrease Increase Issued an $80,000 note payable in payment on account (see item 1 above). 3. Recorded accrued interest on the note from item 2 above I 4. Borrowed $100,000 from the bank by signing a 6- month, $112.000,zero interest-bearing note 5. Recognized 4 months interest expense on the note from item 4 above. 6. Recorded cash sales of $75,260, which includes 6% sales tax 7. Recorded wage expense of $35,000. The cash paid was $25,000; the difference was due to various amounts withheld 8. Recorded employer's payroll taxes 9. Accrued accumulated vacation pay. TOTO !!!! !!!! 10. Recorded an asset retirement obligation 11. Recorded bonuses due to employees 12 Recorded a contingent loss on a lawsuit that the company will probably lose. 13. Accrued warranty expense (assume expense warranty approach). 14. Pald warranty costs that were accrued in item 13 above. 15. Recorded sales of product and related service-type warranties. !!!! DDD 16, Paid warranty costs under contracts from item 15 above 17. Recognized warranty revenue (see item 15 above) 18. Recorded estimated liability for premium claims outstanding