lease read the transaction of FunSun. Co and answer the following questions. Categorize the transactions into equity, assets, liabilities, gain, loss, income, and expenses. Provide the rationale for each classification. Date Transactions April 1: Commenced business with $35,000 of common stock for cash $35000 April 2 Purchased Office supply for $ 1100 on account April 5 Billed customers $ 10000 on the account. April 12 Purchased a delivery van for $ 7,000 on loan. April15 Paid rent for $ 5000. April 16 Paid Salaries to employees $4000 April 17 Cash sales for $ 2000 April 20 Paid insurance for one-year policy $1800. April 21 Collected $ 9000 for the bill on April 5. April 27 Purchased additional furniture by paying cash for $ 2000. April 29 Cash withdrawal for personal use $ 1000 Additional entries: (a) Depreciation for the month of April on van 5% (b) Accrued but unpaid employee salaries were $500 (c) Earned but unbilled fees at October 31 were $600 (d) One-twelfth of the insurance expired (e) Paid Dividend $1000 Submission Instructions 1. Your submission should provide a table that has the following information. Transaction (copy from the questions). Classification of the transaction The reason for the classification.

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Please read the transaction of FunSun. Co and answer the following questions.

Categorize the transactions into equity, assets, liabilities, gain, loss, income, and expenses.
Provide the rationale for each classification.

Date	Transactions
April 1:	Commenced business with $35,000 of common stock for cash $35000
April 2	Purchased Office supply for $ 1100 on account
April 5	Billed customers $ 10000 on the account.
April 12	Purchased a delivery van for $ 7,000 on loan.
April15	Paid rent for $ 5000.
April 16	Paid Salaries to employees $4000
April 17	Cash sales for $ 2000
April 20	Paid insurance for one-year policy $1800.
April 21	Collected $ 9000 for the bill on April 5.
April 27	Purchased additional furniture by paying cash for $ 2000.
April 29	Cash withdrawal for personal use $ 1000
Additional entries:
(a)	Depreciation for the month of April on van 5%
(b)	Accrued but unpaid employee salaries were $500
(c)	Earned but unbilled fees at October 31 were $600
(d)	One-twelfth of the insurance expired
(e)	Paid Dividend $1000