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 $ 21,000 103,300 29,300 191,000 129,000 Land Notes Payable (long-term) Retained Earnings Supplies During the month of July, the company had the following transactions: a. Issued 3,780 shares for $378,000 cash. $ 211,000 4,200 264,500 8,100 b. Borrowed $112,000 cash from a local bank, payable in two years. c. Bought a factory building for $204,000; paid $93,000 in cash and signed a three-year note for the balance. d. Paid cash for equipment that cost $222,000. e. Purchased supplies for $33,300 on account. Required: 1. Analyze transactions (a)-(e) to determine their effects on the accounting equation. (Enter any decreases to account balances with a minus sign.)
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 $ 21,000 103,300 29,300 191,000 129,000 Land Notes Payable (long-term) Retained Earnings Supplies During the month of July, the company had the following transactions: a. Issued 3,780 shares for $378,000 cash. $ 211,000 4,200 264,500 8,100 b. Borrowed $112,000 cash from a local bank, payable in two years. c. Bought a factory building for $204,000; paid $93,000 in cash and signed a three-year note for the balance. d. Paid cash for equipment that cost $222,000. e. Purchased supplies for $33,300 on account. Required: 1. Analyze transactions (a)-(e) to determine their effects on the accounting equation. (Enter any decreases to account balances with a minus sign.)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:ent #2 - Chapter 2
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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
$ 21,000
103,300
29,300
191,000
129,000
Land
Notes Payable (long-term)
Retained Earnings
Supplies
Saved
During the month of July, the company had the following transactions:
a. Issued 3,780 shares for $378,000 cash.
$ 211,000
4,200
264,500
8,100
b. Borrowed $112,000 cash from a local bank, payable in two years.
c. Bought a factory building for $204,000; paid $93,000 in cash and signed a three-year note for the balance.
d. Paid cash for equipment that cost $222,000.
e. Purchased supplies for $33,300 on account.
Required:
1. Analyze transactions (a)-(e) to determine their effects on the accounting equation. (Enter any decreases to account balances with a
minus sign.)
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