Chapter 2, Problem 43E

Exercise 2-43 Transaction Analysis

Goal Systems, a business consulting firm, engaged in the following transactions:

1. Issued common stock for $75,000 cash.
2. Borrowed $35,000 from a bank.
3. Purchased equipment for $12,000 cash.
4. Prepaid rent on office space for 6 months in the amount of $7.800.
5. Performed consulting services in exchange for $6,300 cash.
6. Perfumed consulting services on credit in the amount of $18,750.
7. Incurred and paid wage expense of $9,500.
8. Collected $10,200 of the receivable arising from Transaction f.
9. Purchased supplies for $1,800 on credit.
10. Used $1,200 of the supplies purchased in Transaction i.
11. Paid for all of the supplies purchased in Transaction i.

Required:

For each transaction described above. indicate the effects on assets, liabilities, and stockholders’ equity using the format below.