Exercise 1-12 (Static) Analysis using the accounting equation LO PI Zen began a new consulting firm on January 5. The accounting equation showed the following financial summary for each of the company's first five transactions. Analyze the accounting equation for each transaction and match the given transaction with its most likely description. Assets Accounts Transaction Cash Receivable Supplies +Equipment 1. $40,000+ 50 se 2. 38,000 3. 30,000 4. 5. Transaction 1. 2 3 4 5 30,000+ 31,000+ 5,000 6,000 $0. 3,000+ + 3,000 + 3,000. 3,000 + 8,000 8,000 8,000 -Liabilities Accounts - Common Payable + Stock Revenues +$40,000. 50 @ 50 1,000 1,000+ 1,000 1,000 Description Equity . 40,000. 40,000. 40,000. 40,000+ . 6,000 7,000
Exercise 1-12 (Static) Analysis using the accounting equation LO PI Zen began a new consulting firm on January 5. The accounting equation showed the following financial summary for each of the company's first five transactions. Analyze the accounting equation for each transaction and match the given transaction with its most likely description. Assets Accounts Transaction Cash Receivable Supplies +Equipment 1. $40,000+ 50 se 2. 38,000 3. 30,000 4. 5. Transaction 1. 2 3 4 5 30,000+ 31,000+ 5,000 6,000 $0. 3,000+ + 3,000 + 3,000. 3,000 + 8,000 8,000 8,000 -Liabilities Accounts - Common Payable + Stock Revenues +$40,000. 50 @ 50 1,000 1,000+ 1,000 1,000 Description Equity . 40,000. 40,000. 40,000. 40,000+ . 6,000 7,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![Exercise 1-12 (Static) Analysis using the accounting equation LO P1
Zen began a new consulting firm on January 5. The accounting equation showed the following financial summary for each of the
company's first five transactions. Analyze the accounting equation for each transaction and match the given transaction with its most
likely description.
Transaction Cash
1.
2.
3.
4.
5.
Transaction
1.
2
3.
4
5
Assets
-Liabilities +
Accounts
Accounts
Payable
+Receivable Supplies +Equipment
$0
$
$0
1,000
1,000
1,000
1,000
$40,000+
38,000 +
30,000+
38,000 +
31,000
+
$0
+
e
o
6,000
6,000
+
3,000
3,000
3,000
3,000
+
+
8,000
8,000
8,000
Description
Equity
Common
+ Stock +Revenues
+ $40,000
+ 40,000
+ 40,000
+
40,000
+ 40,000
+
+
+
+
50
@
9
6,000
7,000](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F1aa654e4-f3c8-42e9-afeb-25eee85860f9%2F7decf9f1-ff96-4bb5-834e-b516357ecbda%2Fr854lah_processed.png&w=3840&q=75)
Transcribed Image Text:Exercise 1-12 (Static) Analysis using the accounting equation LO P1
Zen began a new consulting firm on January 5. The accounting equation showed the following financial summary for each of the
company's first five transactions. Analyze the accounting equation for each transaction and match the given transaction with its most
likely description.
Transaction Cash
1.
2.
3.
4.
5.
Transaction
1.
2
3.
4
5
Assets
-Liabilities +
Accounts
Accounts
Payable
+Receivable Supplies +Equipment
$0
$
$0
1,000
1,000
1,000
1,000
$40,000+
38,000 +
30,000+
38,000 +
31,000
+
$0
+
e
o
6,000
6,000
+
3,000
3,000
3,000
3,000
+
+
8,000
8,000
8,000
Description
Equity
Common
+ Stock +Revenues
+ $40,000
+ 40,000
+ 40,000
+
40,000
+ 40,000
+
+
+
+
50
@
9
6,000
7,000
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