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$2.($LO $3,4)$ Alma$$s Payroll Services entered into the following transactions during May $2025.$

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Purchased computers for $$15,000$ from Bytes of Data on account.

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Paid $$3,000$ cash for May rent on storage space.

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Received $$12,000$ cash from customers for contracts billed in April.

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Performed payroll services for Magic Construction Company for $$2,500$ cash.

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Paid Northern Ohio Power Co$.$ $$7,000$ cash for energy usage in May.

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Shareholders invested an additional $$25,000$ in the business.

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Paid Bytes of Data for the computers purchased in $(1)$ above.

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Incurred advertising expense for May of $$900$ on account.

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Instructions

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Indicate with the appropriate letter whether each of the transactions above results in:

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An increase in assets and a decrease in assets.

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An increase in assets and an increase in equity.

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An increase in assets and an increase in liabilities.

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A decrease in assets and a decrease in equity.

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A decrease in assets and a decrease in liabilities.

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An increase in liabilities and a decrease in equity.

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An increase in equity and a decrease in liabilities.