Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

TRANSACTIONS 1 Owner invested $90,000 in the business 2 Purchased $26,700 supplies on account. 3. Purchased equipment for $21,000 cash. 4. Paid $6,000 for rent

image text in transcribed
image text in transcribed
TRANSACTIONS 1 Owner invested $90,000 in the business 2 Purchased $26,700 supplies on account. 3. Purchased equipment for $21,000 cash. 4. Paid $6,000 for rent in advance). 5. Performed services for $7,800 cash. 6. Paid $2,160 for utilities 7. Performed services for $10,500 on account 8. Received $6,600 from charge account customers 9. Paid salaries of $4,500 to employees 10. Paid $6,000 to a creditor on account Indicate the impact of each of the transactions above on the fundamental accounting equation (Assets = Liabilities + Owner's Equity) by placing a "+" to indicate an increase and a "- to indicate a decrease. The first transaction is provided as an example. (If transaction causes one account to increase and another to decrease within the same classification of the accounting equation, select + -) Assets - Liabilities . Owner's Equity Transaction 1 Transaction 2 Transaction 3 Transaction 4 10. Paid $6,000 to a creditor on account Indicate the impact of each of the transactions above on the fundamental accounting equation (Assets = Liabilities + Owner's Equity) by placing a "+" to indicate an increase and a "-" to indicate a decrease. The first transaction is provided as an example. (If transaction causes one account to increase and another to decrease within the same classification of the accounting equation, select +/-) Assets - Liabilities Owner's Equity Transaction 1 Transaction 2 Transaction 3 Transaction 4 Transaction 5 Transaction 6 Transaction 7 Transaction 8 Transaction 9 Transaction 10

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Internet Supply Chain Impact On Accounting And Logistics

Authors: D. Chorafas

5th Edition

0333949633, 9780333949634

More Books

Students also viewed these Accounting questions

Question

2.5 Describe a social audit.

Answered: 1 week ago