Question
For each of the operations described below, indicate the effect on the accounts of the accounting equation of a business: increases and / or decreases
For each of the operations described below, indicate the effect on the accounts of the accounting equation of a business: increases and / or decreases in assets, liabilities and capital:
1. a) The contribution of one of the partners is received and the amount is deposited in the company's checking account.
Increase: ______________________________________ Decreases: ______________________________________
2. b) The rent for the office space corresponding to six months is paid in advance.
Increase: ______________________________________ Decreases: ______________________________________
3. Office supplies were purchased on credit.
Increase: ______________________________________ Decreases: ______________________________________
4. A bank loan is received. The bank deposited the amount into the business checking account.
Increase: ______________________________________ Decreases: ______________________________________
5. Interest for the month is paid to the bank for the loan granted.
Increase: ______________________________________ Decreases: ______________________________________
6. A patent was acquired and a check was issued to make the corresponding payment.
Increase: ______________________________________ Decreases: ______________________________________
7. A cash loan was made to one of the employees.
Increase: ______________________________________ Decreases: ______________________________________
8. Paid what was owed for materials purchased on credit.
Increase: ______________________________________ Decreases: ______________________________________
9. Advertising for the period was contracted and paid in cash.
Increase: ______________________________________ Decreases: ______________________________________
10. Dividends were declared and paid in cash.
Increase: ______________________________________ Decreases: ______________________________________
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