Deliberate Speed Corporation (DSC) was incorporated as a private company. The company's accounts included the following at June 30: Accounts Payable Factory building Cash Contributed Capital Equipment $ 30,000 106,000 32,000 200,000 130,000 Land Notes Payable (long-tera) Retained Earnings Supplies During the month of July, the company had the following transactions a issued 3.600 shares for $360000 cash $ 220,000 6.000 269,000 9,000 b Borrowed $130,000 cash from a local bank, payable in two years e Bought a factory building for $222.000, paid $102,000 in cash and signed a three-year note for the balance. for $240.000
Deliberate Speed Corporation (DSC) was incorporated as a private company. The company's accounts included the following at June 30: Accounts Payable Factory building Cash Contributed Capital Equipment $ 30,000 106,000 32,000 200,000 130,000 Land Notes Payable (long-tera) Retained Earnings Supplies During the month of July, the company had the following transactions a issued 3.600 shares for $360000 cash $ 220,000 6.000 269,000 9,000 b Borrowed $130,000 cash from a local bank, payable in two years e Bought a factory building for $222.000, paid $102,000 in cash and signed a three-year note for the balance. for $240.000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
please answer with detailed working , please provide answer in text form ( without image)
Transcribed Image Text:Deliberate Speed Corporation (OSC) was incorporated as a private company. The company's accounts included the following at June
30:
Accounts Payable
Factory building
Cash
Contributed Capital
Equipment
$ 30,000
106,000
32,000
200,000
130,000
Land
Notes Payable (long-tera)
Retained Earnings
Supplies
$ 220,000
6,000
269,000
9,000
During the month of July, the company had the following transactions
a. Issued 3.600 shares for $360000 cash
b. Borrowed $130,000 cash from a local bank, payable in two years
e Bought a factory building for $222,000, paid $102,000 in cash and signed a three-year note for the balance.
d Paid cash for equipment that cost $240.000
e Purchased supplies for $36,000 on account
Required:
1. Analyze transactions (0)-(e) to determine their effects on the accounting equation. (Enter any decreases to account balances with a
minus sign.)
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps
Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education