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

April 30	Received $888,000 from Commerce Bank after signing a 12-month, 9.00 percent, promissory note.
June 6	Purchased merchandise on account at a cost of $99,000. (Assume a perpetual inventory system.)
July 15	Paid for the June 6 purchase.
August 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 $36,000.
December 31	Determined salary and wages of $64,000 were earned but not yet paid as of December 31 (ignore payroll taxes).
December 31	Adjusted the accounts at year-end, relating to interest.
December 31	Adjusted the accounts at year-end, relating to security service.

Required:

For each listed transaction and related adjusting entry, indicate the accounts, amounts, and effects on the accounting equation.

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.)

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