please do both parts
CP10-1 (Algo) Determining Financial Effects of Transactions Affecting Current Liabilities with Evaluation of Effects on the Debt-to-Assets Ratio [LO 10-2, LO 10-5] EZ Curb Company completed the following transactions. The annual accounting period ends December 31 . January \& Purchased merchandise on account at a cost of $16,500. (Assune a perpetusl Inventory system.) January 17 Pald for the January 8 purchase. April 1 Received $44,000 from National Bank after signing a 12-month, 8.5 percent, promissory note. June 3 purchased merchandise on account at a cost of $20,500. July 5 paid for the June 3 purchase. July 31 Rented out a small offlice in a buflding omed by E2 curb Company and collected six months' rent in advance, amounting to 57,500 . (Use an account called Deferred Revenue,) December 20 collected $150 - cash on account from a customer. December 31 Determined that wages of $7,590 were earned but not yet poid on December 31 (Ignore payroll taxes). Decenber 31 Adjusted the accounts at year-end, relating to interest. Decenber 31 Adjusted the accounts at year-end, relating to rent, Required: 1. For each listed transaction and related adjusting entry, indicate the accounts, amounts, and effects on the accounting equation. 2. For each transaction and related adjusting entry, indicate whether the debt-to-assets ratio is increased or decreased or there is no change. (Assume EZ Curb Company's debt-to-assets ratio has always been less than 10) \begin{tabular}{|l|l|} \hline Mesired 1 Mosted 2 \\ \hline \end{tabular} \begin{tabular}{|c|c|c|c|} \hline Date & \multicolumn{3}{|c|}{ Assets } \\ \hline Jonsary al & \multicolumn{2}{|l|}{ Eventory } & 16,500 \\ \hline Janawi it & \multicolumn{2}{|l|}{ Inventary } & \\ \hline Aort 1 & Wotes Receivable (long term) & 7 & 44060 \\ \hline \multicolumn{4}{|l|}{ Dune 3} \\ \hline \multicolumn{4}{|l|}{ July 5} \\ \hline \multicolumn{4}{|l|}{ Lutr 31} \\ \hline \multicolumn{4}{|l|}{ December 20} \\ \hline \multicolumn{4}{|l|}{ Oscember 20} \\ \hline \multicolumn{4}{|l|}{ Oecemberal } \\ \hline \multicolumn{4}{|l|}{ December 31} \\ \hline December 31 & & & \\ \hline \end{tabular} Labilaies : Srockholderiv' tiquity \begin{tabular}{|c|c|c|} \hline Latrilaies: & (. & Srockholders' Equity \\ \hline & + & \\ \hline & + & \\ \hline & + & \\ \hline & + & \\ \hline & + & \\ \hline & + & \\ \hline & + & \\ \hline & + & \\ \hline & + & \\ \hline & - & \\ \hline & +1 & \\ \hline \end{tabular} For each transaction and related adjusting entry, indicate whether the debt-to-assets ratio is increased or decreased or there is no change. (Assume EZ Curb Company's debt-to-assets ratio has always been less than 1.0.) (Enter your answers in transaction order provided in the problem statement.)
