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The following information applies to the questions displayed below.] Linda owns a lawn maintenance company, and Susan owns a machine repair shop. For the month
The following information applies to the questions displayed below.] Linda owns a lawn maintenance company, and Susan owns a machine repair shop. For the month of July, the following transactions occurred.
July 3 | Linda provides lawn services to Susan's repair shop on account, $370. |
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July 6 | One of Linda's mowers malfunctions. Susan provides repair services to Linda on account, $320. |
July 9 | Susan pays $370 to Linda for lawn services provided on July 3. |
July 14 | Susan borrows $470 from Linda by signing a note. |
July 18 | Linda purchases advertising in a local newspaper for the remainder of July and pays cash, $110. |
July 20 | Linda pays $320 to Susan for services provided on July 6. |
July 27 | Susan performs repair services for other customers for cash, $670. |
July 30 | Susan pays employee salaries for the month, $170. |
July 31 | Susan pays $470 to Linda for money borrowed on July 14. |
Required:
2. Using the format shown below, enter the impact of each transaction on the accounting equation for each company. (Decreases to account classifications should be entered as a negative.)
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