Chapter 1, Problem P1.47BPGB

Using the accounting equation for transaction analysis

Meg McIntyre opened a public relations firm called Pop Chart on August 1, 2018. The following amounts summanze her business on August 31,2018:

Learning Objective 4

Cash $12,650

During September 2018, the business completed the following transactions:

a. Meg McIntyre contributed $14,000 cash in exchange for capital.
b. Performed service for a client and received cash of $1,600.
c. Paid off the beginning balance of accounts payable.
d. Purchased office supplies from OfficeMax on account, $1,200.
e. Collected cash from a customer on account, $2,300.
f. McIntyre withdrew $1,500.
g. Consulted for a new band and billed the client for services rendered, $4,000.
h. Recorded the following business expenses for the month:
Paid office rent: $900.

Paid advertising: $450.
Analyze the effects of the transactions on the accounting equation of Pop Chart using the format presented above.