E3-16 Determining Accounting Equation Effects of Several Transactions [LO 3-2, LO 3-3]
$5.00
| In January 2013, Tongo, Inc., a branding consultant, had the following transactions. Indicate the accounts, amounts, and direction of the effects on the accounting equation under the accrual basis. A sample is provided. (Enter all amounts as positive values.) |
| a. | (Sample) Received $9,700 cash for consulting services rendered in January. |
| b. | Issued stock to investors for $11,500 cash. |
| c. | Purchased $21,500 of equipment, paying 25 percent in cash and owing the rest on a note due in 2 years. |
| d. | Received $8,450 cash for consulting services to be performed in February. |
| e. | Bought $1,250 of supplies on account. |
| f. | Received utility bill for January for $2,170, due February 15. |
| g. | Consulted for customers in January for fees totaling $16,300, due in February. |
| h. | Received $16,700 cash for consulting services rendered in December. |
| i. | Paid $625 toward supplies purchased in (e). |