Deliberate Speed Corporation (DSC) was incorporated as a private company. The company's accounts included the following at June 30: Accounts Payable Building Cash Contributed Capital Equipment $ 10,000 Land 100,000 Notes Payable (long-term) Retained Earnings 26,000 180,000 Supplies 118,000 During the month of July, the company had the following transactions: a. Issued 4,000 shares for $400,000 cash. $ 200,000 2,000 259,000 7,000 b. Borrowed $90,000 cash from a local bank, payable in two years. c. Bought a factory building for $182,000; paid $82,000 in cash and signed a three-year note for the balance. d. Paid cash for equipment that cost $200,000. e. Purchased supplies for $30,000 on account. Required: 1. Analyze transactions (a)-(e) to determine their effects on the accounting equation. (Enter any decreases to account balances with a inurin
Deliberate Speed Corporation (DSC) was incorporated as a private company. The company's accounts included the following at June 30: Accounts Payable Building Cash Contributed Capital Equipment $ 10,000 Land 100,000 Notes Payable (long-term) Retained Earnings 26,000 180,000 Supplies 118,000 During the month of July, the company had the following transactions: a. Issued 4,000 shares for $400,000 cash. $ 200,000 2,000 259,000 7,000 b. Borrowed $90,000 cash from a local bank, payable in two years. c. Bought a factory building for $182,000; paid $82,000 in cash and signed a three-year note for the balance. d. Paid cash for equipment that cost $200,000. e. Purchased supplies for $30,000 on account. Required: 1. Analyze transactions (a)-(e) to determine their effects on the accounting equation. (Enter any decreases to account balances with a inurin
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Please answer within the proper format with all supporting calculation seperately

Transcribed Image Text:Deliberate Speed Corporation (DSC) was incorporated as a private company. The company's accounts included the following at June
30:
Accounts Payable
Building
Cash
Contributed Capital
Equipment
During the month of July, the company had the following transactions:
a. Issued 4,000 shares for $400,000 cash.
Transaction
a.
b.
C.
b. Borrowed $90,000 cash from a local bank, payable in two years.
c. Bought a factory building for $182,000; paid $82,000 in cash and signed a three-year note for the balance.
d. Paid cash for equipment that cost $200,000.
e. Purchased supplies for $30,000 on account.
d.
0.
Required:
1. Analyze transactions (a)-(e) to determine their effects on the accounting equation. (Enter any decreases to account balances with a
minus sign.)
$ 10,000
View transaction list
100,000
26,000
180,000 Supplies
118,000
<
Land
Notes Payable (long-term)
Retained Earnings
1
Journal entry worksheet
2 3 4 5
Assots
2. Record the transaction effects determined in requirement 1 using a journal entry format. (If no entry is required for a
transaction/event, select "No journal entry required" in the first account field.)
Transaction
a.
Issued 4,000 shares for $400,000 cash.
Note: Enter debits before credits.
$ 200,000
2,000
259,000
7,000
General Journal
Liabilities
Debit
Shareholders' Equity
Credit

Transcribed Image Text:3. Summarize the journal entry effects from requirement 2 using T-accounts.
Beg. bal.
End. bal.
Beg. bal.
End. bal.
Beg. bal.
End. bal.
Beg. bal.
End. bal.
Beg. bal.
Cash
Factory Building
Land
Notes Payable
Beg. bal.
End. bal.
Beg. bal.
End. bal.
Beg. bal.
End. bal.
Beg. bal.
End. bal.
Retained Earnings
Supplies
Equipment
Accounts Payable
Contributed Capital
Expert Solution
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