External Transactions of Eagle Soccer Academy (2) Transaction Date Description (1) Dec. 1 Sell shares of common stock for $25,000 to obtain the funds necessary to start the business. Dec. 1 Borrow $10,000 from the local bank and sign a note promising to repay the full amount of the debt in three years. Dec. 1 Purchase equipment necessary for giving soccer training. $24,000 cash. Dec. 1 Pay one year of rent in advance, $6,000 ($500 per month). Dec. 6 Purchase supplies on account, $2,300. Dec. 12 Provide soccer training to customers for cash, $4,300. Dec. 17 Provide soccer training to customers on account, $2,000. (8) Dec. 23 Receive cash in advance for 12 soccer training sessions to be given in the future, $600. (9) Dec. 28 Pay salaries to employees, $2,800. Dec. 30 Pay cash dividends of $200 to shareholders. 10 Name: Chapter 2 - Part 1 Financial Accounting (ACC 221 Fall 2019 1. Record the transactions for Eagle Soccer Academy using the accounting equation (from the PowerPoint slides, increases are positive and decreases are negative): ASSETS LIABILITIES # Accounts receive. Cash EQUITY Revenue Stock (expense) (dividend) Prepaid rent Supplies Equip- ment Payables & Deferred notes revenue 600 va AwN- 10 0 0 0 0 0 = 0 0 + 0 0 Total assets: 0 Total liabilities & equity In balance