Indicate on the columns effected the value of increase or decrease for each accounting element: ASSETSLIABILITIESOWNER’S EQUITY DEBITCREDITDEBITCREDITDEBITCREDITThe owner invested P50, 000 cash to start the business. Purchase office supplies on account, payable next week, P2, 000. Collected P10, 000 cash for services rendered to customer. Purchase office machine, 15, 000, P5, 000 down, balance issued with promissory note. Rendered P20, 000 services, collectible next week. Paid the account in number 2. Paid P500 electric bill for electric consumed in conduct of business. Collected the account in number 5. Paid P5, 000 personal drawing of the owner. Received P200 water bill, payable next week. Rendered services to water company, off set against the P200 account payable to the water company. Used office supplies, P500.

Name: Indicate on the columns effected the value of increase or decrease for
Uploaded: 2024-03-04T10:43:15.000Z
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Description: Indicate on the columns effected the value of increase or decrease for each accounting element: ASSETSLIABILITIESOWNER’S EQUITY DEBITCREDITDEBITCREDITDEBITCREDITThe owner invested P50, 000 cash to start the business. Purchase office supplies on

Every accounting transaction has an effect on the accounting equation. The accounting equation is…

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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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Indicate on the columns effected the value of increase or decrease for each accounting element:

ASSETS

LIABILITIES

OWNER’S EQUITY

DEBIT

CREDIT

DEBIT

CREDIT

DEBIT

CREDIT

The owner invested P50, 000 cash to start the business.

Purchase office supplies on account, payable next week, P2, 000.

Collected P10, 000 cash for services rendered to customer.

Purchase office machine, 15, 000, P5, 000 down, balance issued with promissory note.

Rendered P20, 000 services, collectible next week.

Paid the account in number 2.

Paid P500 electric bill for electric consumed in conduct of business.

Collected the account in number 5.

Paid P5, 000 personal drawing of the owner.

Received P200 water bill, payable next week.

Rendered services to water company, off set against the P200 account payable to the water company.

Used office supplies, P500.

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