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Knowledge Check 01 Cary's Carpet Cleaning, Inc. purchased $10,000 of carpet cleaning equipment, paying $2,000 cash and giving an informal promise to pay $8,000 at

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Knowledge Check 01 Cary's Carpet Cleaning, Inc. purchased $10,000 of carpet cleaning equipment, paying $2,000 cash and giving an informal promise to pay $8,000 at the end of the month. On April 30, Cary's Carpeting Cleaning pays $8,000 to the equipment supplier. Prepare the appropriate journal entry for the payment on April 30. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list View journal entry worksheet No Transaction April 30 General Journal Debit Credit 1 Accounts Payable 8,000 Knowledge Check 01 On April 10. Cary's Carpet Cleaning, Inc. borrows $15,000 from a bank, depositing those funds in its bank account and signing a formal agreement to repay the loan in one year. Prepare the appropriate journal entry for this transaction. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list View journal entry worksheet THE No Transaction 1 General Journal No Journal Entry Required Debit Credit 15,000 Rawico Communications operates 15 radio stations. The following events occurred during September a. Placed an order for office supplies costing $2,600. Supplier intends to deliver later in the month b. Purchased equipment that cost $31,000; paid $18,000 cash and signed a promissory note to pay $13,000 in one month. c Negotiated and signed a one-year bank loan, and then deposited $7.000 cash in the company's checking account. d. Hired a new finance manager on the last day of the month e. Received an investment of $11,000 cash from the company's owners in exchange for issuing common shares. Supplies [ordered in (a) were received, along with a bill for $2.600. Required: 1. Indicate the specific account amount and direction of effects for each transaction on the radio station's accounting equation. If an event is not considered a transaction, leave the account, amount and direction of effects blank (Enter any decreases to account balances with a minus sign.) Assets Liabilities Stockholders' Equity b b o d. 42 12 14 23 11! Next >

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