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1. Issued stock to investors for $13,300 in cash. 2. Purchased used car for $10, 100 cash for use in business. 3. Purchased supplies on account for $280. 4. Billed customers $3,930 for services performed. Paid $150 cash for advertising at the start of the business. 6. Received $1,610 cash from customers billed in transaction (4). 7. Paid creditor $310 cash on account. 8. Paid dividends of $550 cash to stockholders. 5.

1. Issued stock to investors for $13,300 in cash. 2. Purchased used car for $10, 100 cash for use in business. 3. Purchased supplies on account for $280. 4. Billed customers $3,930 for services performed. Paid $150 cash for advertising at the start of the business. 6. Received $1,610 cash from customers billed in transaction (4). 7. Paid creditor $310 cash on account. 8. Paid dividends of $550 cash to stockholders. 5.

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Please see below. I need help with this asap please and thank you. Please include the account credited and the account debited sides.
Selected transactions for Martinez, an interior decorator corporation, in its first month of business, are as follows. 1. Issued stock to investors for $13,300 in cash. 2. Purchased used car for $10, 100 cash for use in business. 3. Purchased supplies on account for $280. 4. Billed customers $3,930 for services performed. 5. Paid $150 cash for advertising at the start of the business. 6. Received $1,610 cash from customers billed in transaction (4). 7. Paid creditor $310 cash on account. 8. Paid dividends of $550 cash to stockholders. (a) For each transaction indicate the basic type of account debited and credited (asset, liability, stockholders' equity): the specific account debited and credited (Cash, Rent Expense, Service Revenue, etc.); whether the specific account is increased or decreased: and the normal balance of the specific account. Account Credited Normal Normal Specific Account Effect Balance Basic Type fect Balance Credit Increase Stockholders' Equity Common Stock Debit
Transcribed Image Text:Selected transactions for Martinez, an interior decorator corporation, in its first month of business, are as follows. 1. Issued stock to investors for $13,300 in cash. 2. Purchased used car for $10, 100 cash for use in business. 3. Purchased supplies on account for $280. 4. Billed customers $3,930 for services performed. 5. Paid $150 cash for advertising at the start of the business. 6. Received $1,610 cash from customers billed in transaction (4). 7. Paid creditor $310 cash on account. 8. Paid dividends of $550 cash to stockholders. (a) For each transaction indicate the basic type of account debited and credited (asset, liability, stockholders' equity): the specific account debited and credited (Cash, Rent Expense, Service Revenue, etc.); whether the specific account is increased or decreased: and the normal balance of the specific account. Account Credited Normal Normal Specific Account Effect Balance Basic Type fect Balance Credit Increase Stockholders' Equity Common Stock Debit
For each transaction indicate the basic type of account debited and credited (asset, liability, stockholders' equity); the specific account debited and credited (Cash, Rent Expense, Service Revenue, etc.); whether the specific account is increased or decreased; and the normal balance of the specific account. Account Debited Normal No. Basic Type Specific Account Effect Basic Type Balance 1. Asset Cash Increase Debit Stockholders' Equit 2. 3. 4. 5. 6. 7. 8. List of Accounts <.
Transcribed Image Text:For each transaction indicate the basic type of account debited and credited (asset, liability, stockholders' equity); the specific account debited and credited (Cash, Rent Expense, Service Revenue, etc.); whether the specific account is increased or decreased; and the normal balance of the specific account. Account Debited Normal No. Basic Type Specific Account Effect Basic Type Balance 1. Asset Cash Increase Debit Stockholders' Equit 2. 3. 4. 5. 6. 7. 8. List of Accounts <.
Expert Solution
Step 1 Introduction

The different transactions in the business affects two or more accounts of the business, with one account is debited then other must be credited.

The assets have the debit balance, the liabilities and shareholders' equity have the credit balance. 

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