PROBLEM 3: IDENTIFYING THE ACCOUNTS AFFECTED Instruction: Identify the ACCOUNT TITLES that are affected by the transactions described below. The first item is given as an example. TRANSACTIONS ACCOUNT TITLES AFFECTED Cash Example: Payment of advertising Advertising expense expense 1. Owner's cash investment to the business 2. Purchase of equipment on cash basis 3. Sale of goods on cash basis (disregard cost of sales) 4. Charging the cost of the goods sold in #3 above as expense 5. Purchase of inventory for cash 6. Payment of utilities expense 7. Purchase of inventory on cash basis 8. Payment of various small expenses that do not warrant separate presentation 9. Payment of local taxes 10. Payment of taxi fare of employees working night shift Scanned with CamScanner