M5-5 (Algo) Determining Financial Statement Effects of Sales and Cost of Goods Sold and Issuance of Stock LO5-3

Using the following categories, indicate the effects of the following transactions.

Note: Enter negative amounts with a minus sign.

1. Sales on account were $740 and related cost of goods sold was $420.
2. Issued 7,000 shares of $1 par value stock for $75,000 cash.