Brantley Shumaker opened a public relations firm called Gold Star Services on August 1, 2025. The following

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Brantley Shumaker opened a public relations firm called Gold Star Services on August 1, 2025. The following amounts summarize the business on August 31, 2025:

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During September 2025, the business completed the following transactions:

a. Shumaker contributed \($13,000\) cash in exchange for capital.

b. Performed service for a client and received cash of \($900.

c. Paid off the beginning balance of accounts payable.

d. Purchased supplies from OfficeCo. on account, \($600.

e. Collected cash from a customer on account, \($2,300.

f. Shumaker withdrew cash of \($1,600.

g. Consulted for a new band and billed the client for services rendered, \($5,500.

h. Recorded the following business expenses for the month:


Paid office rent: \($1,200.
Paid\) advertising: \($600.


Analyze\) the effects of the transactions on the accounting equation of Gold Star Services using the format presented in Exhibit F:1-5.

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Horngrens Accounting The Financial Chapters

ISBN: 9780137884858

14th Edition

Authors: Brenda Mattison, Tracie Miller-Nobles

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