Question
The transactions are :1. The owner, Wayne Dalli, needs money for his personal use. He draws $2500 cash out of the business.2. P. O'Neill pays
The transactions are :1. The owner, Wayne Dalli, needs money for his personal use. He draws $2500 cash out of the business.2. P. O'Neill pays her debt of $529.3. A $390 repair service is performed for N. Chang. He will pay in 30 days.4. Sold the old truck. Its value on the balance sheet was $19 750, but the business received only $4000 cash for it.5. Paid $900 cash to reduce the amount of the mortgage.6. The mortgage company calculated monthly interest on the mortgage at $700. This was also paid in cash. Hint: Paying interest to a creditor does not reduce the amount owed. Interest is a cost of borrowing money.7. Bought a new truck for $40 000. Paid $5000 cash as a down payment and owe the rest to the bank.
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