Question

For each of the following transactions or economic events, indicate the impact on the elements of the accounting equation (whether each element increases, decreases, has no net effect, or there is no impact):
a. Purchase of equipment; supplier agrees to be paid in one year.
b. Depreciation of a building.
c. Collection of an amount owed by a customer.
d. Repayment of a bank loan.
e. Repair services received and paid for in cash.
f. Property insurance for the next fiscal year purchased for cash.
g. A magazine subscriber pays in advance for a new subscription.
h. Employees are owed wages at the end of the year.
i. An investor earns interest on an investment; the amount is unpaid at the end of the year (consider from the investor’s perspective).



$1.99
Sales0
Views61
Comments0
  • CreatedFebruary 26, 2015
  • Files Included
Post your question
5000