Mulkeen Service Company, Inc., was incorporated by Conor Mulkeen and five other managers. The following activities occurred during the year: a. Received $40.000 cash from the managers, each was issued 1000 shares of common stock. b. Purchased equipment for use in the business at a cost of $6.000 one-fourth was paid in cash and the company signed a note for the balance (due in six months). c. Signed an agreement with a cleaning service to pay it $50 per week for cleaning the corporate offices, beginning next year. d. Conor Mulkeen borrowed $11.000 for personal use from a local bank signing a one-year note. Required: 1. For each of the above transactions, record its effects in the appropriate T-accounts Assume all beginning balances are zero. cash Equipment Beg Bal. Beg Bal a b End. Bal. End Bal Notes Payable Common Stock Beg Bal. Beg Ball End. Bal End Bal Required information (The following information applies to the questions displayed below.) Mulkeen Service Company, Inc., was incorporated by Conor Mulkeen and five other managers. The following activities occurred during the year. a. Received $40,000 cash from the managers; each was issued 1,000 shares of common stock. b. Purchased equipment for use in the business at a cost of $6,000; one-fourth was paid in cash and the company signed a note for the balance (due in six months). c. Signed an agreement with a cleaning service to pay it $50 per week for cleaning the corporate offices, beginning next year. d. Conor Mulkeen borrowed $11,000 for personal use from a local bank, signing a one-year note. 2. Using the balances in the T-accounts, fill in the following amounts for the accounting equation: Assets Liabilities - Stockholders' Equity occurred during the year. a. Received $40.000 cash from the managers, each was issued 1.000 shares of common stock. b. Purchased equipment for use in the business at a cost of $6,000; one-fourth was paid in cash and the company signed a note for the balance (due in six months). c. Signed an agreement with a cleaning service to pay it $50 per week for cleaning the corporate offices, beginning next year. d Conor Mulkeen borrowed $11,000 for personal use from a local bank, signing a one-year note 3-a. What will be your response to transaction (c)? O The agreement in (a) involves no exchange or receipt of cash, goods, or services and thus is not yet a transaction. O The agreement in (a) involves exchange of cash and services and thus is a transaction. 3-b. What will be your response to transaction (d)? Transaction (d) occurs between the company and others, so this transaction affect the business. Transaction (d) occurs between the owners and others, the separate entity assumption implies this transaction does not affect the business