For each of the following activities, identify the effect on each component of the income statement and

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For each of the following activities, identify the effect on each component of the income statement and balance sheet. The first one has been done as an example for you.
1. $14,000 of services were provided to clients on credit today.
For each of the following activities, identify the effect on

2. $5,000 cash was collected for services performed on credit last month.
3. $25,000 cash was borrowed from the bank.
4. $500 of advertising was done in the local newspaper today on account.
5. $500 was paid regarding the advertising in (4) above.
6. The owner invested an additional $10,000 cash into the business.
7. The owner withdrew $5,000 of cash from the business.
8. The owner took $200 worth of office supplies home for personal use.
9. A new computer was purchased for $2,000 cash.
10. A one-year insurance policy costing $12,000 was purchased today.
11. Purchased $45 of fuel for the van; paid cash.
12. Collected $900 from a client for work performed today.

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Related Book For  answer-question

Fundamental Accounting Principles

ISBN: 978-0071051507

Volume I, 14th Canadian Edition

Authors: Larson Kermit, Tilly Jensen

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