The options are:

Accounts Payable

Accounts Receivable

Advertising Expense

Buildings

Cash

Common Stock

Delivery Expense

Dividends (Declared)

Equipment

Income Tax Expense

Insurance Expense

Interest Expense

Land

Licensing Revenue

Note Payable (long-term)

Note Payable (short-term)

Operating Expenses

Other Current Assets

Other Current Liabilities

Other Expenses

Other Noncurrent Assets

Other Noncurrent Liabilities

Other Revenue

Prepaid Advertising

Prepaid Insurance

Prepaid Rent

Rent Expense

Rent Revenue

Repairs and Maintenance Expense

Retained Earnings

Salaries and Wages Expense

Selling, General and Administrative Expense

Service Revenue

Supplies

Travel Expense

Unearned Revenue

Utilities Expense

Wages Expense

E3-7 Determining Accounting Equation Effects and Net Income [LO 3-2, LO 3-3] The following transactions occurred during a recent year a. Paid wages of $1,100 for the current period (example). b. Borrowed $5,500 cash from local bank using a short-term note c. Purchased $2,200 of equipment on credit d. Eamed $440 of sales revenue; collected cash. e. Received $880 of utlities services, on credit. f. Eamed $1,870 of service revenue, on credit g. Paid $330 cash on account to a supplier h. Incurred $75 of travel expenses; paid cash. i. Eamed $440 of service revenue; collected half in cash, with balance on credit. J. Collected $110 cash from customers on account k. Incurred $320 of advertising costs; paid half in cash, with balance on credit Required: 1. For each of the transactions, complete the table below, indicating the account, amount, and direction of effect (+ for increase and-for decrease) of each transaction under the accrual basis. Include revenues and expenses as subcategories of stockholders' equity, as shown for the first transaction, which is provided as an example. Also, determine the company's preliminary net income. (Enter any decreases to account balances with a minus sign.)