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Selected transactions for L. Takemoto, an interior decorating firm, in its first month of business, are as follows. Jan. 2 3 9 11 Stockholders invested

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Selected transactions for L. Takemoto, an interior decorating firm, in its first month of business, are as follows. Jan. 2 3 9 11 Stockholders invested $15,000 cash in the business in exchange for common stock Purchased used car for $8,200 cash for use in the business. Purchased supplies on account for $500. Billed customers $1,800 for services performed. Paid $200 cash for advertising. Received $780 cash from customers billed on January 11. Paid creditor $300 cash on balance owed. Declared and paid a $500 cash dividend. 16 20 23 28 For each transaction indicate the following (a) (b) The basic type of account debited and credited (Asset, Liability, Stockholders' Equity). The specific account debited and credited (Cash, Rent Expense, Service Revenue, etc.). Whether the specific account is increased or decreased. (c) (d) The normal balance of the specific account. Account Debited Transaction (a) Basic Type (b) Specific Account (c) Effect (d Nori Bala Jan 2 Asset Increase Debi 3 Asset Increase Debil 9 Asset Increase Debil 11 Asset Increase Debil 16 Stockholders Equity Increase Debit 20 Debil Asset Increase radil 22 Account Credited (d) formal alance (a) Basic Type (b) Specific Account (c) Effect (d) Normal Balance ebit Stockholders' Equity Common Stock Increase Credit ebit Asset Decrease : Debit: ebit Liability Increase Credit ebit: Stockholders' Equity : Increase Credit : I! ebit Asset Decrease Debit ebit: Asset Decrease Debit Jan. 2 Asset Increase Debil 3 Asset Increase Deba 9 Asset Increase Debil 11 TINTI Asset Increase Debil 16 Stockholders' Equity Increase Debit 20 Asset + Increase Debil 23 Liability Decrease Cred 28 Stockholders' Equity Increase Debil Debit Stockholders' Equity Common Stock Increase Credit Debit Asset Decrease Debit : Debit Liability Increase Credit Debit Stockholders' Equity Increase Credit : Debit Asset Decrease + Debit Debit Asset Decreme: Debit : UUTI Credit Asset Decrease : Debit Decrease Debit Asset Debit

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