Required information E2-8 (Static) Analyzing the Effects of Transactions in T-Accounts [LO 2-2, LO 2-3, LO 2-5) [The following information applies to the questions displayed below) Mulkeen Service Company, Incorporated, was incorporated by Conor Mulkeen and five other managers. The following activities occurred during the year a. Received $60,000 cash from the managers, each was issued 1,000 shares of common stock b. Purchased equipment for use in the business at a cost of $12,000, one-fourth was paid in cash and the company signed a note for the balance (due in six months) c. Signed an agreement with a cleaning service to pay it $120 per week for cleaning the corporate offices, beginning next year. d. Conor Mulkeen borrowed $10,000 for personal use from a local bank, signing a one-year note. E2-8 (Static) Part 1 Required: 1. For each of the above transactions, record its effects in the appropriate T-accounts. Assume all beginning balances are zero. Equipment Cash Credit Credit Debit Beginning Balance Debit Beginning Balance 0 0 60,000 3,000 57.000 Ending Balance nding Balance E2-8 (Static) Part 1 Required: 1. For each of the above transactions, record its effects in the appropriate T-accounts. Assume all beginning balances are zero. Cash Equipment Credit Credit Debit Beginning Balance a 0 Debit Beginning Balance b. 60,000 3,000 Ending Balance 57,000 Inding Balance a encos Notes Payable Common Stock b. Debit CH Credit C. Beginning Balance Debit eginning Balance d Ending Balance Ending Balance Required information E2-8 (Static) Analyzing the Effects of Transactions in T-Accounts (LO 2-2, LO 2-3, LO 2-5) [The following information applies to the questions displayed below) Mulkeen Service Company, Incorporated, was incorporated by Conor Mulkeen and five other managers. The following activities occurred during the year: a. Received $60,000 cash from the managers; each was issued 1,000 shares of common stock. b. Purchased equipment for use in the business at a cost of $12,000; one-fourth was paid in cash and the company signed a note for the balance (due in six months) c. Signed an agreement with a cleaning service to pay it $120 per week for cleaning the corporate offices, beginning next year d. Conor Mulkeen borrowed $10,000 for personal use from a local bank, signing a one-year note. E2-8 (Static) Part 2 2. Using the balances in the T-accounts, fill in the following amounts for the accounting equation: Assets Liobarties Stockholders' Equity Required information E2-8 (Static) Analyzing the Effects of Transactions in T-Accounts (LO 2-2, LO 2-3, LO 2-5) {The following information applies to the questions displayed below) Mulkeen Service Company, Incorporated, was incorporated by Conor Mulkeen and five other managers. The following activities occurred during the year a Received $60,000 cash from the managers, each was issued 1,000 shares of common stock. b. Purchased equipment for use in the business at a cost of $12,000; one-fourth was paid in cash and the company signed a note for the balance (due in six months) c. Signed an agreement with a cleaning service to pay it $120 per week for cleaning the corporate offices, beginning next d. Conor Mulkeen borrowed $10,000 for personal use from a local bank, signing a one-year note. year E2-8 (Static) Part 3 3-0. What will be your response to transaction (@? The agreement in (involves no exchange or receipt of cash, goods, or services and thus is not yet a transaction The agreement in (c) involves exchange of cash and services and thus is a transaction 3-b. What will be your response to transaction (0? Transaction (coccurs between the company and others, so this transaction affect the business. Transaction (coccurs between the owners and others, the separate entity assumption implies this transaction does not affect the business