John Sullivan started a business. During the first month (February 20--), the following transactions occurred. Show the effect of each transaction on the accounting equation: Assets = Liabilities + Owner's Equity. After each transaction, show the new totals. Use the minus sign to indicate a decrease or reduction in the account. If an amount box doesn't require an entry, leave it "blank" or enter "0".

	Assets	=	Liabilities	+	Owner's Equity
a. Invested cash in the business, $29,660.
	fill in the blank 1		fill in the blank 2		fill in the blank 3
Bal.	fill in the blank 4		fill in the blank 5		fill in the blank 6
b. Bought office equipment on account, $7,940.
	fill in the blank 7		fill in the blank 8		fill in the blank 9
Bal.	fill in the blank 10		fill in the blank 11		fill in the blank 12
c. Bought office equipment for cash, $1,850. (Enter the change in Cash on the first line and the change in Equipment on the second line)
	fill in the blank 13		fill in the blank 14		fill in the blank 15
	fill in the blank 16		fill in the blank 17		fill in the blank 18
Bal.	fill in the blank 19		fill in the blank 20		fill in the blank 21
d. Paid cash on account to supplier in transaction (b), $2,330.
	fill in the blank 22		fill in the blank 23		fill in the blank 24
Bal.	fill in the blank 25		fill in the blank 26		fill in the blank 27

Answer rating: 100% (QA)

Assets Liabilities Owners Equity a Invested cash in the business 29660 Cash 29660 Owne ... View the full answer