C213: Accounting for Decision Makers For each transaction below, indicate the amount the affected accounts increase (treat amount as positive numb Bala Transaction Analysis Scorpion Company 1 Received $400,000 in cash from Tom Maudi and issued common stock to him. 2 Purchased land for $30,000 cash. 3 Borrowed $45,000 from the bank and signed a note. 4 Purchased $80,000 of inventory on account. Sold some of the inventory in #4 for 5 $50,000 on account. Expensed inventory sold in #5. Cost of 6 goods sold equals 60% of sales. 7 8 9 10 11 Purchased supplies on account for $1,000. Paid $55,000 on accounts payable. Paid property tax expense of $1,000. Paid office employee salaries of $2,500. Received $12,000 on accounts receivable. Assets Cash Accounts Receivable Inventory Prepaid Expenses 12 Purchased 12 month insurance policy for $15,000. 13 Sold some of the inventory in #4 for $40,000 in cash. Expensed inventory sold in #13. Cost of 14 goods sold equals 60% of sales. Purchased office building and warehouse 15 for $200,000. Scorpion Company signed a note with the bank.. 16 Paid $100 interest. 17 Paid $200 utilities. Totals t amount as positive number) or decrease (treat amount as negative number). Balance Sheet = Property, Plant, & Equip Total Assets 0 0 0 0 0 0 0 0 0 0 0 = = = = = = = = = = = = Liabilities + Owners' Equity Accounts Payable Notes Payable Capital Stock Retained Earnings Total Liabilities and Equity 0 0 0 0 0 0 0 0 0 0 0 = 0 = 0 = 0 0 0 = 0 0 0 = = - 0 0 0 - Income Statement Sales Revenue Cost of Goods Sold Expenses (other than Cost of Goods Sold)