Selected transactions for Front Room, an interior decorator corporation, in its first month of business, are as follows. 1. 2. 3. 4. Issued stock to investors for $15,000 in cash. Purchased used car for $10,000 cash for use in business. Purchased supplies on account for $300. Billed customers $3,700 for services performed. Paid $200 cash for advertising at the start of the business. Received $1,100 cash from customers billed in transaction (4). Paid creditor $300 cash on account. Paid dividends of $400 cash to stockholders. 5 . 6. 7 8. No. Basic Type Specific Account Effect Normal Balance Basic Type Asset Cash Increase Debit Stockholders' Equit As Cash > Increase Debit Asset Asset 5 5. Account Credited 'ffect Normal Balance Basic Type Specific Account Effect Normal Balance ise Debit Stockholders' Equity Common Stock Increase Credit case Debit Asset