For each of the following transactions for New Idea Corporation, give the accounting equation effects of the adjustments required at the end of the month on July 31: (Enter any decreases to Assets, Liabilities, or Stockholders' Equity with a minus sign.) Received a $700 utility bill for electricity usage in July to be paid in August.Owed wages to 15 employees who worked two days at $150 each per day at the end of July. The company will pay employees at the end of the first week of August.On July 1, loaned money to an employee who agreed to repay the loan in one year along with $1,800 for one full year of interest. No interest has been recorded yet.

Introduction: - Accounting equation indicates that company's total assets are equal to the sum of…

Answered: adjustments required at the end of the…

College Accounting (Book Only): A Career Approach

13th Edition

ISBN:9781337280570

Author:Scott, Cathy J.

Publisher:Scott, Cathy J.

Chapter7: Employee Earnings And Deductions

Section: Chapter Questions

Problem 3PA

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For each of the following transactions for New Idea Corporation, give the accounting equation effects of the adjustments required at the end of the month on July 31: (Enter any decreases to Assets, Liabilities, or Stockholders' Equity with a minus sign.)

Received a $700 utility bill for electricity usage in July to be paid in August.
Owed wages to 15 employees who worked two days at $150 each per day at the end of July. The company will pay employees at the end of the first week of August.
On July 1, loaned money to an employee who agreed to repay the loan in one year along with $1,800 for one full year of interest. No interest has been recorded yet.

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