PA2-2 (Algo) Recording Transactions (in a Journal and T-Accounts); Preparing a Trial Balance; Preparing and Interpreting the Balance Sheet [LO 2-1, LO 2-2, LO 2-3, LO 2-4, LO 2-5] [The following information applies to the questions displayed below.] Deliberate Speed Corporation (DSC) was incorporated as a private company. The company's accounts included the following at June 30: Accounts Payable Buildings Cash Common Stock Equipment Land Notes Payable (long-term) Retained Earnings Supplies $ 29,000 159,000 39,500 150,000 150,500 239,000 3,500 418,300 12,800 During the month of July, the company had the following activities: a. Issued 5,800 shares of common stock for $580,000 cash. b. Borrowed $111,000 cash from a local bank, payable in two years. c. Bought a building for $290,500; paid $104,000 in cash and signed a three-year note for the balance. d. Paid cash for equipment that cost $217,000. e. Purchased supplies for $30,250 on account. 1. Analyze transactions (a)-(e) to determine their effects on the accounting equation. (Enter any decreases to account balances with a minus sign.) Assets Liabilities Stockholders' Equity Cash Supplies Buildings Equipment Land Beginning Balance a. b. C. d. 39,500 12,800 159,000 150,500 239,000 = Accounts Payable 29,000 Notes Payable Common Retained Stock Earnings 3,500 + 150,000 418,300 = + + + + e. + Ending Balance 39,500 12,800 159,000 150,500 239,000 = 29,000 3,500 + 150,000 418,300