Required information (The following information applies to the questions displayed below.] Athletic Performance Company (APC) was incorporated as a private company. The company's accounts included the following at July 1: $ 8,750 265,000 18,000 397,000 30,750 118,500 35,000 Accounts Payable Buildings Cash Common Stock Equipment Land Notes Payable (long-term) Retained Earnings Supplies 8,500 During the month of July, the company had the following activities: a. Issued 3,300 shares of common stock for $330,000 cash. b. Borrowed $52,750 cash from a local bank, payable in two years. c. Bought a building for $193,500; paid $59,500 in cash and signed a three-year note for the balance. d. Paid cash for equipment that cost $148,000. e. Purchased supplies for $18,400 on account. Required: 1. Analyze transactions (a)-(e) to determine their effects on the accounting equation. TIP: In transaction (c), three different accounts are affected. (Enter any decreases to account balances with a minus sign.)
Required information (The following information applies to the questions displayed below.] Athletic Performance Company (APC) was incorporated as a private company. The company's accounts included the following at July 1: $ 8,750 265,000 18,000 397,000 30,750 118,500 35,000 Accounts Payable Buildings Cash Common Stock Equipment Land Notes Payable (long-term) Retained Earnings Supplies 8,500 During the month of July, the company had the following activities: a. Issued 3,300 shares of common stock for $330,000 cash. b. Borrowed $52,750 cash from a local bank, payable in two years. c. Bought a building for $193,500; paid $59,500 in cash and signed a three-year note for the balance. d. Paid cash for equipment that cost $148,000. e. Purchased supplies for $18,400 on account. Required: 1. Analyze transactions (a)-(e) to determine their effects on the accounting equation. TIP: In transaction (c), three different accounts are affected. (Enter any decreases to account balances with a minus sign.)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Analyze transactions
![Required information
[The following information applies to the questions displayed below.]
Athletic Performance Company (APC) was incorporated as a private company. The company's accounts included the
following at July 1:
$ 8,750
265,000
18,000
397,000
30,750
118,500
35,000
Accounts Payable
Buildings
Cash
Common Stock
Equipment
Land
Notes Payable (long-term)
Retained Earnings
Supplies
8,500
During the month of July, the company had the following activities:
a. Issued 3,300 shares of common stock for $330,000 cash.
b. Borrowed $52,750 cash from a local bank, payable in two years.
c. Bought a building for $193,500; paid $59,500 in cash and signed a three-year note for the balance.
d. Paid cash for equipment that cost $148,000.
e. Purchased supplies for $18,400 on account.
Required:
1. Analyze transactions (a)-e) to determine their effects on the accounting equation. TIP: In transaction (c), three different accounts are
affected. (Enter any decreases to account balances with a minus sign.)](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F51535845-8e4c-44c4-a6be-da9a54d2bbef%2Fc831e481-e3bd-4960-b263-aab1b74ed9f9%2Frytfr8_processed.png&w=3840&q=75)
Transcribed Image Text:Required information
[The following information applies to the questions displayed below.]
Athletic Performance Company (APC) was incorporated as a private company. The company's accounts included the
following at July 1:
$ 8,750
265,000
18,000
397,000
30,750
118,500
35,000
Accounts Payable
Buildings
Cash
Common Stock
Equipment
Land
Notes Payable (long-term)
Retained Earnings
Supplies
8,500
During the month of July, the company had the following activities:
a. Issued 3,300 shares of common stock for $330,000 cash.
b. Borrowed $52,750 cash from a local bank, payable in two years.
c. Bought a building for $193,500; paid $59,500 in cash and signed a three-year note for the balance.
d. Paid cash for equipment that cost $148,000.
e. Purchased supplies for $18,400 on account.
Required:
1. Analyze transactions (a)-e) to determine their effects on the accounting equation. TIP: In transaction (c), three different accounts are
affected. (Enter any decreases to account balances with a minus sign.)
Transcribed Image Text:Assets
Liabilities
Stockholders' Equity
+
Notes
Accounts
Common
Retained
Cash
Supplies Buildings Equipment
Land
Payable
(long-term)
+
Payable
Stock
Earnings
Beginning Balance
18,000
8,500
265,000
30,750
118,500
8,750
35,000 +
397,000
330,000
Ol=
0l +
330,000
а.
b.
52,750
O1=
52,750 +
(59,500)
(148,000)
C.
193,500
Ol=
134,000 +
d.
148,000
0l +
е.
18,400
O1=
18,400
0 +
Ending Balance
193,250
26,900
458,500
178,750
118,500 =
27,150
221,750 +
727,000
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