ASSIGNMENT 3 - Effects of transactions to the accounting equation.A.B. Mahusay decided to put up an aircon cleaning & repair services onJanuary 1, 2020. In order to do so, he invested P300,000 for the establishmentof his business. For the month of January, A.B. Mahusay also incurred the followingtransactions:January 2January 3Paid P3,000 municipal permit/license to operate business.Bought the necessary equipment for his business. The totalpurchase price was P150,000. P50,000 was paid in cashand the balance on account.January 5January 20 Received P30,000 cash from various customers for servicesHired 2 aircon technicians with monthly salary of P5,000 each.rendered.January 25 Paid office space rental for the month, P6,000.January 28 Received P12,000 cash for services rendered.January 31 Paid P10,000 salary of the 2 technicians.January 31 Billed customer, Mr. S. K. Na P5,000 for services rendered butverbally promised to pay on February 5.REQUIRED: Determine the effect of each day's transaction to the accounting equationUse the table below as guide.|= LIABILITIES+Cash Receivable Equipment = Payable + Capital Revenues ExpensesASSETSEQUITYDate

Accounting equation is the record prepared to analyze the effect of transactions on the basic…

A.B. Mahusay decided to put up an aircon cleaning & repair services on January 1, 2020. In order to do so, he invested P300,000 for the establishment of his business. For the month of January, A.B. Mahusay also incurred the following transactions: January 2 Paid P3,000 municipal permit/license to operate business. January 3 Bought the necessary equipment for his business. The total purchase price was P150,000. P50,000 was paid in cash and the balance on account. January 5 Hired 2 aircon technicians with monthly salary of P5,000 each. January 20 Received P30,000 cash from various customers for services rendered. January 25 Paid office space rental for the month, P6,000. January 28 Received P12,000 cash for services rendered. January 31 Paid P10,000 salary of the 2 technicians. January 31 Billed customer, Mr. S. K. Na P5,000 for services rendered but verbally promised to pay on February 5. REQUIRED: Determine the effect of each day's transaction to the accounting equation Use the table below as guide. ASSETS Cash Receivable Equipment |=|LIABILITIES+ Payable +Capital Revenues Expenses EQUITY Date

A.B. Mahusay decided to put up an aircon cleaning & repair services on January 1, 2020. In order to do so, he invested P300,000 for the establishment of his business. For the month of January, A.B. Mahusay also incurred the following transactions: January 2 Paid P3,000 municipal permit/license to operate business. January 3 Bought the necessary equipment for his business. The total purchase price was P150,000. P50,000 was paid in cash and the balance on account. January 5 Hired 2 aircon technicians with monthly salary of P5,000 each. January 20 Received P30,000 cash from various customers for services rendered. January 25 Paid office space rental for the month, P6,000. January 28 Received P12,000 cash for services rendered. January 31 Paid P10,000 salary of the 2 technicians. January 31 Billed customer, Mr. S. K. Na P5,000 for services rendered but verbally promised to pay on February 5. REQUIRED: Determine the effect of each day's transaction to the accounting equation Use the table below as guide. ASSETS Cash Receivable Equipment |=|LIABILITIES+ Payable +Capital Revenues Expenses EQUITY Date

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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