Using T accounts to analyze transactions

Denise Carswell decided to start a dental practice. The first five transactions for the business follow. For each transaction, (1) determine which two accounts are affected, (2) set up T accounts for the affected accounts, and (3) enter the debit and credit amounts in the T accounts.

1. Denise invested $90,000 cash in the business.

2. Paid $30,000 in cash for equipment.

3. Performed services for cash amounting to $9,000.

4. Paid $3,800 in cash for advertising expense.

5. Paid $3,000 in cash for supplies.