P1-48B Using the accounting equation for transaction analysis Cosmo Timmins started a new business, Timmins Gymnastics, and completed the following transactions during December:
Dec. 1 Cosmo contributed $20,000 cash in exchange for common stock.
2 Received $2,200 cash from customers for services performed.
5 Paid $350 cash for office supplies.
9 Performed services for a customer and billed the customer for services rendered, $4,500.
10 Received $100 invoice for utilities due in two weeks.
15 Paid for advertising in the local paper, $475.
20 Paid utility invoice received on Dec. 10.
25 Collected cash in full from customer billed on Dec. 9.
28 Paid rent for the month, $3,000.
28 Paid $ 1,500 to assistant for wages.
30 Received $2,000 cash from customers for services performed.
31 Cash dividends of $3,500 were paid to stockholders.
Analyze the effects of the transactions on the accounting equation of Timmins Gymnastics using a format similar to Exhibit 1-6.