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During 2025, its first year of operations as a delivery service, Pharoah Corp. entered into the following transactions. 1. Issued shares of common stock to investors in exchange for $137,000 in cash. 2. Borrowed $55,000 by issuing bonds. 3. Purchased delivery trucks for $63,000 cash. 4. Received $18,000 from customers for services performed. 5. Purchased supplies for $6,600 on account. 6. Paid rent of $5,900. 7. Performed services on account for $10,700. 8. Paid salaries of $26,700. 9. Paid a dividend of $11,500 to stockholders. Using the following tabular analysis, show the effect of each transaction on the accounting equation. Put explanations for cha Stockholders' Equity in the far-right column. (If a transaction causes a decrease in Assets, Liabilities or Stockholders' Equ place a negative sign (or parentheses) in front of the amount entered for the particular Asset, Liability or Equity item was reduced.) (2) (3) རྒྱ་སེ་གྱི (1) Assets Accounts Cash Receivable Supplies Equipment

During 2025, its first year of operations as a delivery service, Pharoah Corp. entered into the following transactions. 1. Issued shares of common stock to investors in exchange for $137,000 in cash. 2. Borrowed $55,000 by issuing bonds. 3. Purchased delivery trucks for $63,000 cash. 4. Received $18,000 from customers for services performed. 5. Purchased supplies for $6,600 on account. 6. Paid rent of $5,900. 7. Performed services on account for $10,700. 8. Paid salaries of $26,700. 9. Paid a dividend of $11,500 to stockholders. Using the following tabular analysis, show the effect of each transaction on the accounting equation. Put explanations for cha Stockholders' Equity in the far-right column. (If a transaction causes a decrease in Assets, Liabilities or Stockholders' Equ place a negative sign (or parentheses) in front of the amount entered for the particular Asset, Liability or Equity item was reduced.) (2) (3) རྒྱ་སེ་གྱི (1) Assets Accounts Cash Receivable Supplies Equipment

FINANCIAL ACCOUNTING
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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During 2025, its first year of operations as a delivery service, Pharoah Corp. entered into the following transactions. 1. Issued shares of common stock to investors in exchange for $137,000 in cash. 2. Borrowed $55,000 by issuing bonds. 3. Purchased delivery trucks for $63,000 cash. 4. Received $18,000 from customers for services performed. 5. Purchased supplies for $6,600 on account. 6. Paid rent of $5,900. 7. Performed services on account for $10,700. 8. Paid salaries of $26,700. 9. Paid a dividend of $11,500 to stockholders. Using the following tabular analysis, show the effect of each transaction on the accounting equation. Put explanations for cha Stockholders' Equity in the far-right column. (If a transaction causes a decrease in Assets, Liabilities or Stockholders' Equ place a negative sign (or parentheses) in front of the amount entered for the particular Asset, Liability or Equity item was reduced.) (2) (3) རྒྱ་སེ་གྱི (1) Assets Accounts Cash Receivable Supplies Equipment
Transcribed Image Text:During 2025, its first year of operations as a delivery service, Pharoah Corp. entered into the following transactions. 1. Issued shares of common stock to investors in exchange for $137,000 in cash. 2. Borrowed $55,000 by issuing bonds. 3. Purchased delivery trucks for $63,000 cash. 4. Received $18,000 from customers for services performed. 5. Purchased supplies for $6,600 on account. 6. Paid rent of $5,900. 7. Performed services on account for $10,700. 8. Paid salaries of $26,700. 9. Paid a dividend of $11,500 to stockholders. Using the following tabular analysis, show the effect of each transaction on the accounting equation. Put explanations for cha Stockholders' Equity in the far-right column. (If a transaction causes a decrease in Assets, Liabilities or Stockholders' Equ place a negative sign (or parentheses) in front of the amount entered for the particular Asset, Liability or Equity item was reduced.) (2) (3) རྒྱ་སེ་གྱི (1) Assets Accounts Cash Receivable Supplies Equipment
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