Daniels Company made the following selected transactions during May: 1. Received cash from sale of stock, $55,000. 2. Paid creditors on account, $7,000. 3. Billed customers for services on account, $2,565. 4. Received cash from customers on account, $8,450. 5. Paid dividends to stockholders, $2,500. 6. Purchased supplies on account, $160. Indicate the effect of each transaction on the accounting equation by: a. Account type - (A) assets, (L) liabilities, (SE) stockholders' equity, (R) revenue, and (E) expense. b. Name of account c. Amount of the transaction d. Direction of change (increase or decrease) in the account affected Note: Each transaction has two entries. Enter all amounts as positive numbers. Entry 1 2 3 Acct. Type (a) Name of Acct. (b) Amount (c) Increase or Decrease (d) Acct. Type (a) Entry Name of Acct. (b) Amount (c) Increase or Decrease (d)

Daniels Company made the following selected transactions during May: 1. Received cash from sale of stock, $55,000. 2. Paid creditors on account, $7,000. 3. Billed customers for services on account, $2,565. 4. Received cash from customers on account, $8,450. 5. Paid dividends to stockholders, $2,500. 6. Purchased supplies on account, $160. Indicate the effect of each transaction on the accounting equation by: a. Account type - (A) assets, (L) liabilities, (SE) stockholders' equity, (R) revenue, and (E) expense. b. Name of account c. Amount of the transaction d. Direction of change (increase or decrease) in the account affected Note: Each transaction has two entries. Enter all amounts as positive numbers. Entry 1 2 3 Acct. Type (a) Name of Acct. (b) Amount (c) Increase or Decrease (d) Acct. Type (a) Entry Name of Acct. (b) Amount (c) Increase or Decrease (d)

Name: Daniels Company made the following selected transactions during May:1
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Description: Daniels Company made the following selected transactions during May:1. Received cash from sale of stock, $55,000.2. Paid creditors on account, $7,000.3. Billed customers for services on account, $2,565.4. Received cash from customers on account, $8,

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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