Problem 2-11A and 2-12A

increase by $8,540, and the liabilities increase by ). Compute the resulting accounting equation. 3. During February, the assets decrease by $3,460, and the liabilities increase by $2,000. Compute the resulting accounting equation. P2-9A (L03/4) / Total cash following(g): $12,950 EFFECT OF TRANSACTIONS ON ACCOUNTING E started a business. During the first month occurred. QUATION Jay Pembroke cions CLGL (a) Invested cash in business, $18,000. (b) Bought office supplies for $4,600: $2,000 in cash and $2,600 on account. (c) Paid one-year insurance premium, $1,200. d) Eamed revenues totaling $3,300: $1,300 in cash and $2,000 on account (e) Paid cash on account to the company that supplied the office supplies in transaction (b), $2,300. (f) Paid office rent for the month, $7s0. (g) Withdrew cash for personal use, $100. REQUIRED Show the effect of each transaction on the individual accounts of the expanded a ing equation: Assets Liabilities+ Owner's Equity (Capital - Drawing+ Revenues Expenses). After transaction (g), report the totals for each element. Demonstrate that the accounting equation has remained in baiance ccount P2-10A (LOs) Net incomes INCOME STATEMENT Based on Problem 2-9A, prepare a. income statement fo Jay Pembroke for the month of April 20- CLGL