Indicate how the following business transactions affect the basic accounting equation. (a) Paid cash for janitorial services.

Question:

Indicate how the following business transactions affect the basic accounting equation.
(a) Paid cash for janitorial services.
(b) Purchased equipment for cash.
(c) Received cash in exchange for ordinary shares.
(d) Paid accounts payable in full.

Accounts Payable
Accounts payable (AP) are bills to be paid as part of the normal course of business.This is a standard accounting term, one of the most common liabilities, which normally appears in the balance sheet listing of liabilities. Businesses receive...