On April 1, 2010, Ryan Barnes established Coyote Realty. Ryan completed the following transactions during the month of April:
a. Opened a business bank account with a deposit of $25,000 from personal funds.
b. Paid rent on office and equipment for the month, $3,200.
c. Paid automobile expenses (including rental charge) for month, $1,200, and miscellaneous expenses, $800.
d. Purchased supplies (pens, file folders, and copy paper) on account, $900.
e. Earned sales commissions, receiving cash, $24,000.
f. Paid creditor on account, $400.
g. Paid office salaries, $3,600.
h. Withdrew cash for personal use, $3,000.
i. Determined that the cost of supplies on hand was $150; therefore, the cost of supplies
used was $750.
Instructions
1. Indicate the effect of each transaction and the balances after each transaction, using
the following tabular headings: