The Flower Shop began business in February. Several transactions which occurred in the first month are described below. Indicate the effect of each transaction on the accounting equation (A = L + OE), be sure to indicate which account was affected and how.

1. February 1: Investors provided cash of $35,000 to the business
2. February 2: Rent of $800 was paid for the month of February.
3. February 7: Equipment with a cost of $1,500 was purchased on credit: payment is due within 30 days.
4. A $375 purchase of merchandise inventory is made on February 12, terms 2/10, n/30, FOB Destination.(2 marks)
5. On February 13, freight charges worth $50 related to the February 12 transaction were paid by the appropriate party.(2 marks)
6. February 14: Bills totaling $2,700 were presented to customers for flower arrangements created and delivered; $1,450 was received in cash immediately; the balance of $1,250 is due within 10 days.
7. On February 21, The Flower Shop paid the invoice related to the February 12 transaction.(2 marks)
8. February 18: Full payment was made for the equipment purchased on February 7.
9. February 22: Payment in full was received from customers with balances due from February 14.
10. February 28: Employee salaries of $1,650 were paid.