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Required information Skip to question [The following information applies to the questions displayed below.] Deliberate Speed Corporation (DSC) was incorporated as a private company. The
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[The following information applies to the questions displayed below.]
Deliberate Speed Corporation (DSC) was incorporated as a private company. The companys accounts included the following at June 30:
Accounts Payable | $ 20,000 |
---|---|
Buildings | 100,000 |
Cash | 36,000 |
Common Stock | 180,000 |
Equipment | 118,000 |
Land | 200,000 |
Notes Payable (long-term) | 2,000 |
Retained Earnings | 259,000 |
Supplies | 7,000 |
During the month of July, the company had the following activities:
- Issued 4,000 shares of common stock for $400,000 cash.
- Borrowed $100,000 cash from a local bank, payable in two years.
- Bought a building for $182,000; paid $82,000 in cash and signed a three-year note for the balance.
- Paid cash for equipment that cost $200,000.
- Purchased supplies for $30,000 on account.
Required:
- Analyze transactions (a)(e) to determine their effects on the accounting equation. (Enter any decreases to account balances with a minus sign.)
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