Grizzly Co. enters into the following transactions: Stockholders contribute $25,000 cash to a company in exchange for common stock. The company purchases $12,500 of new equipment in exchange for its promise to pay $12,500 at the end of next month. The company pays $7,500 to suppliers on account. Required: a. Show the effect of these transactions on the basic accounting equation. b. Prepare the journal entries that would be used to record the transactions. Complete this question by entering your answers in the tabs below. Required A Required B Show the effect of these transactions on the basic accounting equation. (Enter any decreases to account balances with a minus sign.) Transaction Analysis Liabilities Assets + Stockholders' Equity a. b. C. Grizzly Co. enters into the following transactions: Stockholders contribute $25,000 cash to a company in exchange for common stock. The company purchases $12,500 of new equipment in exchange for its promise to pay $12,500 at the end of next month. The company pays $7,500 to suppliers on account. Required: a. Show the effect of these transactions on the basic accounting equation. b. Prepare the journal entries that would be used to record the transactions. Complete this question by entering your answers in the tabs below. Required A Required B Prepare the journal entries that would be used to record the transactions. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet Record the entry for cash contributed by stockholders, $25,000. Note: Enter debits before credits. Transaction General Journal Debit Credit a Record entry Clear entry View general journal During the month, a company enters into the following transactions: a. Borrows $3,200 of cash from the bank by signing a formal agreement to repay the loan in 2 years. b. Buys $4,000 of new equipment on account. c. Pays off $2,400 of accounts payable. d. Pays off $1,200 of notes payable Required: a. Show the effect of these transactions on the basic accounting equation. b. Prepare the journal entries that would be used to record the transactions. Complete this question by entering your answers in the tabs below. Required A Required B Show the effect of these transactions on the basic accounting equation. (Enter any decreases to account balances with a minus sign.) Transaction Analysis Liabilities Assets Stockholders' Equity a. b. C. d. During the month, a company enters into the following transactions: a. Borrows $3,200 of cash from the bank by signing a formal agreement to repay the loan in 2 years. b. Buys $4,000 of new equipment on account. c. Pays off $2,400 of accounts payable. d. Pays off $1,200 of notes payable Required: a. Show the effect of these transactions on the basic accounting equation. b. Prepare the journal entries that would be used to record the transactions. Complete this question by entering your answers in the tabs below. Required A Required B Prepare the journal entries that would be used to record the transactions. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet Record the entry for cash of $3,200 borrowed from the bank by signing a formal agreement to repay the loan in 2 years. Note: Enter debits before credits. Transaction General Journal Debit Credit a Record entry Clear entry View general journal
