Identify each account as Asset, Liability, or Equity.

Learning Objective $4$

S$-$F:$1-9$ Using the accounting equation to analyze transactions

Large City Kennel earns service revenue by caring for the pets of customers. Large City Kennel is organized as a sole proprietorship and owned by Eberly Minx. During the past month, Large City Kennel has the following transactions:

a$.$ Received $$520$ cash for service revenue earned.

b$.$ Paid $$325$ cash for salaries expense.

c$.$ Minx contributed $$1,000$ to the business in exchange for capital.

d$.$ Earned $$640$ for service revenue, but the customer has not paid Large City Kennelyer

e$.$ Received utility bill of $$85,$ which will be paid next month.

f$.$ Minx withdrew $$100$ cash.

Indicate the effects of the business transactions on the accounting equation for Lars City Kennel. Transaction $($a$)$ is answered as a guide. Use the following accounts: Cast Accounts Receivable; Accounts Payable; Minx, Capital; Minx, Withdrawals; Service Revenue; Salaries Expense; and Utilities Expense.

a$.$ Increase asset $($Casb$)$; Increase equity $($Service Rerenne$)$