The following business events occurred during May: May 1 The company issued ordinary shares for SR...

Transcribed Image Text:

The following business events occurred during May: May 1 The company issued ordinary shares for SR 40,000 cash. .Hired a secretary at a salary of SR 3,000 per month 2 Purchased office supplies for SR 800 on account. Billed customers SR 4,000 for service performed. Paid SR 5,000 for this month's rent. 6 10 Paid a dividend of SR 2,000 in cash to shareholders. Paid SR 500 cash on its bill for office supplies purchased 25 on 4/5. 28 Received SR 1,600 in cash from customers who had been billed for services on 6/5. Instructions: Show the effects of the above events on the expanded accounting equation. The following business events occurred during May: May 1 The company issued ordinary shares for SR 40,000 cash. .Hired a secretary at a salary of SR 3,000 per month 2 Purchased office supplies for SR 800 on account. Billed customers SR 4,000 for service performed. Paid SR 5,000 for this month's rent. 6 10 Paid a dividend of SR 2,000 in cash to shareholders. Paid SR 500 cash on its bill for office supplies purchased 25 on 4/5. 28 Received SR 1,600 in cash from customers who had been billed for services on 6/5. Instructions: Show the effects of the above events on the expanded accounting equation.

Answer rating: 100% (QA)

The detailed ... View the full answer