Show the effect of each transaction on the three basic accounting elements by indicating the dollar amount of the increase or decrease under the proper element heading. Compute the resulting accounting equation. a. Owner invested $16,500 cash in the business. b. Paid premium for two-year insurance policy, $1,500. c. Purchased a van valued at $35,000 with $5,000 down payment; the balance to be paid over three years. d. Paid the rent for the month, $900. e. Purchased $470 of supplies for cash. f. Cash sales for the month, $8,750. g. Billed credit customers $14,200 for monthly services. h. Paid monthly utility bill, $210. i. Owner withdrew $2,200 for personal use. j. Received payments of $3,300 from credit customers.

Show the effect of each transaction on the three basic accounting elements by indicating the dollar amount of the increase or decrease under the proper element heading. Compute the resulting accounting equation. a. Owner invested $16,500 cash in the business. b. Paid premium for two-year insurance policy, $1,500. c. Purchased a van valued at $35,000 with $5,000 down payment; the balance to be paid over three years. d. Paid the rent for the month, $900. e. Purchased $470 of supplies for cash. f. Cash sales for the month, $8,750. g. Billed credit customers $14,200 for monthly services. h. Paid monthly utility bill, $210. i. Owner withdrew $2,200 for personal use. j. Received payments of $3,300 from credit customers.

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Description: Show the effect of each transaction on the three basic accounting elements by indicating the dollar amount of the increase or decrease under the proper element heading. Compute the resulting accounting equation.a.Owner invested $16,500 cash in the bu

Financial Accounting

15th Edition

ISBN:9781337272124

Author:Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:Carl Warren, James M. Reeve, Jonathan Duchac

Chapter4: Completing The Accounting Cycle

Section: Chapter Questions

Problem 5CP

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Show the effects of each transaction on the accounting equation by indicating under the proper heading the dollar amount of increase or decrease for each transaction listed below. Compute the resulting accounting equation. a. b. C. d. Owner deposited $20,000 in his new business checking account. Supplies were purchased for $300 on account. Paid a $1,200 premium for six months of liability insurance. Purchased supplies for $200 cash. Purchased equipment for $4,000 by paying $1,000; the rest to be paid in six months. Paid the $300 bill outstanding (from transaction b). Owner withdrew $700 from the business for personal use. e g. ASSETS Prep. Insur. Equip Cash Supp. 0 a. 20,000 0 0 0
Show the effects of each transaction on the accounting equation by indicating under the proper heading the dollar amount of increase or decrease for each transaction listed below. Compute the resulting accounting equation. a. Owner deposited $20,000 in his new business checking account. b. Supplies were purchased for $300 on account. c. Paid a $1,200 premium for six months of liability insurance. d. Purchased supplies for $200 cash. e. Purchased equipment for $4,000 by paying $1,000; the rest to be paid in six months. f. Paid the $300 bill outstanding (from transaction b). g. Owner withdrew $700 from the business for personal use. ASSETS = LIAB. + OWNER'S EQUITY Cash + Supp. + Prep. Insur. + Equip = Accts. Pay. + Capital - Drawing a. fill in the blank 1 fill in the blank 2 fill in the blank 3…
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bartleby, a Learneo, Inc. business

a.	Owner invested $16,500 cash in the business.
b.	Paid premium for two-year insurance policy, $1,500.
c.	Purchased a van valued at $35,000 with $5,000 down payment; the balance to be paid over three years.
d.	Paid the rent for the month, $900.
e.	Purchased $470 of supplies for cash.
f.	Cash sales for the month, $8,750.
g.	Billed credit customers $14,200 for monthly services.
h.	Paid monthly utility bill, $210.
i.	Owner withdrew $2,200 for personal use.
j.	Received payments of $3,300 from credit customers.