On April 1, 2020, Neal Chianese established an interior decorating business Neal Designs. During the month, Neal completed the following transactions related to the business. Use the following chart of accounts to journalize each transaction in this quiz. 11 Cash 12 Accounts receivable 14 Computer supplies 15 Prepaid rent 18 21 23 31 32 41 51 52 Chart of Accounts DATE 4/1 Equipment Account payable Notes payable Neal Chianese, Capital Neal Chianese, Drawing Fees earned April 1: Neal transferred cash from a personal bank account to an account used for the business, $20,000. Wages expense Rent expense DATE 4/2 QUESTION 3 April 2: Paid two month's rent, $1,400. Debit Debit Credit Credit

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Financial Transaction Analysis

The transaction analysis is done with the help of the accounting equation. The basic accounting equation is alternatively known as the balance sheet equation is based on the double-entry system which says that for each transaction happening in a business, at least two accounts should be affected I.e. both the debit side and the credit side should be equal. The Accounting Equation is