Nature of transactions

Teri West owns and operates her own catering service. Summary financial data for July are presented in equation form as follows. Each line designated by a number indicates the effect of a transaction on the equation. Each increase and decrease in owner$$s equity, except transaction $(5),$ affects net income.

Assets $=$ Liabilities $+$ Owner's Equity

Transaction Cash $+$ Supplies $+$ Land $=$ Accounts Payable $+$ Teri West, Capital $-$ Teri West, Drawing $+$ Fees Earned $-$ Expenses

Bal. $37,100+4,800+92,800=10,000+124,700---$

$1.+43,400++=+++43,400-$

$2.-18,600+++18,600=+++-$

$3.-32,300++=++---32,300$

$4.++1,900+=+1,900+-+-$

$5.-2,500++=+--2,500+-$

$6.-8,900++=-8,900++--$

$7.+-3,700+=+++--3,700$

Bal. $18,200+3,000+111,400=3,000+124,700--2,500+43,400--36,000$