For each of the business activities provided indicate the effect on the item listed. A sample has been provided for you Use the following legend to indicate the effect of the business transaction on the element Enter A if there is an increase to the element. Enter B if there is a decrease to the element. Enter Cif there is both an increase and a decrease to the element. Enter D if there is NO IMPACT at all on the element Effect on: Assets Sample Question: Solution: The purchase of new equipment for cash, $4,000 Effect on: Solution: You made a Dec. 31 yearend entry for interest on a 1 A business with a 30% tax rate makes an accrual A business receives $600 cash from a customer for Received inventory worth $1,200 from your supplier, You pay your employee for the 75 hours of work they Equity Q1 | year $85,000 loan, 3% interest, taken out Dec. 1 Q2 revenues are $118,000 and expenses are $102,000 Q3 services to be performed over the next 2 months. Q4 purchased with terms 1/10, n/30 Q5 Liability Revenue Expense erformed over the last 2 weeks, $15 per hour