Jack Hammer Company completed the following transactions. The annual accounting period ends December 31.

Apr.		30		Received $612,000 from Commerce Bank after signing a 12-month, 6.50 percent, promissory note.
June		6		Purchased merchandise on account at a cost of $76,000. (Assume a perpetual inventory system.)
July		15		Paid for the June 6 purchase.
Aug.		31		Signed a contract to provide security service to a small apartment complex starting in September, and collected six months fees in advance, amounting to $24,500.
Dec.		31		Determined salary and wages of $41,000 were earned but not yet paid as of December 31 (ignore payroll taxes).
Dec.		31		Adjusted the accounts at year-end, relating to interest.
Dec.		31		Adjusted the accounts at year-end, relating to security service.

Required:

1. For each listed transaction and related adjusting entry, indicate the accounts, amounts, and effects on the accounting equation.
2. For each item, indicate whether the debt-to-assets ratio is increased or decreased or there is no change. (Assume Jack Hammers debt-to-assets ratio is less than 1.0.)

Complete this question by entering your answers in the tabs below.

• Required 1
• Required 2

For each listed transaction and related adjusting entry, indicate the accounts, amounts, and effects on the accounting equation. (Do not round intermediate calculations. Round your answers to the nearest whole dollar. Enter any decreases to assets, liabilities, or stockholders equity with a minus sign. Enter your answers in transaction order provided in the problem statement.)

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Date	Assets		=	Liabilities		+	Stockholders' Equity
Apr. 30
June 6
July 15
Aug. 31
Dec. 31
Dec. 31
Dec. 31

For each item, indicate whether the debt-to-assets ratio is increased or decreased or there is no change. (Assume Jack Hammers debt-to-assets ratio is less than 1.0.) (Enter your answers in transaction order provided in the problem statement.)

Date	Effect on Ratio	Numerator	Denominator
Apr. 30
June 6
July 15
Aug. 31
Dec. 31
Dec. 31
Dec. 31