Selected transactions for A. B. Coors Corporation during its first month in business are presented below.

Sept. 1 Issued common stock in exchange for $20,000 cash received from investors.

5 Purchased equipment for $10,000, paying $2,000 in cash and the balance on account.

25 Paid $5,000 cash on balance owed for equipment.

30 Paid $500 cash dividend.

A. B. Coors's chart of accounts shows: Cash, Equipment, Accounts Payable, Common Stock, and Dividends.

Instructions

(a) Prepare a tabular analysis of the September transactions. The column headings should be: Cash + Equipment = Accounts Payable + Stockholders' Equity. For transactions affecting stockholders' equity, provide explanations in the right margin, as shown on below.

Illustration 3-3

(b) Journalize the transactions. Do not provide explanations.
(c) Post the transactions to Taccounts.

Liabilities Stockholders' Equlty Prepd Office Uncarned Common Retained Earnit Cash + Supp. + Insur + Equip.. N/P + A/P + Serv Res. + Stock + Rer - Exp. - Div (1) +510,000 2) 5,000 (3) 5,000 (4) +1,200 (5) +10,000 (6) 900 7) 600 S10,000 Issued stock +$5,000 +$5,000 $1,200 +$10,000 Service Revenue Rent Expense $ 900 +5600 $2,500 + $2,500 (10) 300 (11)4,000 -$500 Dividends -4,000 Salaries Expense $15.200$2500+ $600+ $5,000-$5,000$2.500$1,200 $10,000 $10,000-54900 $500 $23,300 $23,300