TigerCom completed the following transactions. The annual accounting period ends December 31.

Jan. 3 Purchased merchandise on account at a cost of $24,000 (Assume a perpetual inventory system.)

Jan. 27 Paid for the January 3 purchase

Apr. 1 Received $80,000 from Atlantic Bank after signing a twelve-month, 5 percent, promissory note

June 13 Purchased merchandise on account at a cost of $8,000

July 25 Paid for the June 13 purchase

Aug. 1 Rented out a small office in a building owned by TigerCom and collected eight months? rent in advance, amounting to $8,000 (Use an account called Deferred Rent Revenue.)

Dec. 31 Determined wages of $12,000 were earned but not yet paid on December 31 (Ignore payroll taxes.)

Dec. 31 Adjusted the accounts at year-end, relating to interest

Dec. 31 Adjusted the accounts at year-end, relating to rent

Required:

1. For each listed transaction and related adjusting entry, indicate the accounts, amounts, and effects (+ for increase, ? for decrease, and NE for no effect) on the accounting equation, using the following format:

2. For each item, state whether the debt-to-assets ratio is increased or decreased or there is no change. (Assume Tiger Company?s debt-to-assets ratio is less than 1.0.)

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Liabilities Date + Shareholders' Equity Assets