View Policies Current Attempt in Progress Cullumber Company, a computer services company, entered into these transactions during May 2017, its first month of operations. 1. 2. 3. 4. 5. Stockholders invested $37,000 in the business in exchange for common stock of the company. Purchased computers for office use (recorded as Equipment) for $33,800 from Ladd on account. Paid $4,500 cash for May rent on storage space. Performed computer services worth $15,400 on account. Performed computer services for Wharton Construction Company for $5,800 cash. Paid Western States Power Co. $9.000 cash for energy usage in May. Paid Ladd for the computers purchased in (2). Incurred advertising expense for May of $3,000 on account. Received $10,100 cash from customers for contracts billed in (4). 000 o 9. Using the following tabular analysis, show the effect of each transaction on the accounting equation. Put explanations for changes revenues or expenses in the right-hand column. (If a transaction causes a decrease in Assets, Liabilities or Stockholders' Equity, place a negative sign (or parentheses) in front of the amount entered for the particular Asset, Liability or Equity item that was reduced.) View Policies Current Attempt in Progress Cullumber Company, a computer services company, entered into these transactions during May 2017, its first month of operations. 1 2 3 4 5 6. Stockholders invested $37.000 in the business in exchange for common stock of the company. Purchased computers for office use (recorded as Equipment) for $33.800 from Ladd on account Paid $4.500 cash for May renton storage space. Performed computer services worth $15,400 on account. Performed computer services for Wharton Construction Company for $5,800 cash. Paid Western States Power Co. 59.000 cash for energy usage in May. Paid Ladd for the computers purchased in (2). Incurred advertising expense for May of $3,000 on account Received $10,100 cash from customers for contracts billed in (4). 8 Using the following tabular analysis, show the effect of each transaction on the accounting equation. Put explanations for changes to revenues or expenses in the right-hand column. (If a transaction causes a decrease in Assets, Liabilities or Stockholders' Equity place a negative sign for parentheses) in front of the amount entered for the particular Asset, Liability or Equity item that was reduced.) Assets Accounts Receivable Liabilities Accounts Payable Cash Equipment $ $ (1) $ (2) (3) (5) (7) (8) (9) $ 5 Cullumber Company, a computer services company, entered into these transactions during May 2017. its first month of operations. 1 2. 3. 4. 5. 6. 7. 8 9. Stockholders invested 537.000 in the business in exchange for common stock of the company. Purchased computers for office use recorded as Equipment) for $33.800 from Ladd on account Paid $4,500 cash for May rent on storage space Performed computer services worth $15.400 on account Performed computer services for Wharton Construction Company for $5.800 cash. Paid Western States Power Co. 59.000 cash for energy usage in May. Paid Ladd for the computers purchased in (2) Incurred advertising expense for May of 53.000 on account Received 510.100 cash from customers for contracts billed in 14). Using the following tabular analysis show the effect of each transaction on the accounting equation. Put explanations for changes to revenues or expenses in the right-hand column. (If a transaction causes a decrease in Assets, Liabilities or Stockholders Equity place a negative sign for parentheses) in front of the amount entered for the particular Asset. Liability or Equity item that was reduced.) Common Stock Stockholders Equity Retained Earnings Revenues Expenses S $ 1 $ > > V >
