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please help me solve this Required information E2-11 Recording Journal Entries and Preparing a Classified Balance Sheet [L0 2-1, LO 2-2, LO 2-5] Assume Down,
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Required information E2-11 Recording Journal Entries and Preparing a Classified Balance Sheet [L0 2-1, LO 2-2, LO 2-5] Assume Down, Inc., was organized on May 1 to compete with Despair, Inc.-a company that sells de-motivational posters and office products. Down, Inc., encountered the following events during its first month of operations. a Received $39,000 cash from the investors who organized Down, Inc. b. Borrowed $18,000 cash and signed a note due in two years. c. Ordered equipment costing $21,000. d. Purchased $9,000 in equipment, paying $3,000 in cash and signing a six-month note for the balance. e. Received the equipment ordered in (c. paid for half of it, and put the rest on account. E2-11 Part 1 Required: 1. Summarize the financial effects of items (a)-(e) in a table. (Enter any decreases to account balances with a minus sign.) Answer is complete but not entirely correct. Stockholders Equity Assets Liabilities ST Notes Payable LT Notes Accounts Payable Common Stock Cash Equipment Payable Beg. 0 0 0 0 0 0 39,000 39,0000 a. 18,000 b. 18,000 C 9,000 36,000X 27,000 6,000 d (3,000) (12,000)X 21,000X 24,000X) 24,000X 6,000 18,000 39,000 End Step by Step Solution
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