Required Identify whether each of the following transactions is an asset source (AS), asset use (AU), asset exchange (AE), or claims exchange (CE). Also explain how each event affects the accounting equation by placing a + for increase, - for decrease, and NA for not affected under each of the components of the accounting equation. Finally, indicate whether the effect requires a debit or credit entry. The first event is recorded as an example. a. Purchased supplies on account. b. Acquired cash from the issue of common stock. c. Paid cash in advance for one year of rent. d. Paid salaries payable. e. Received cash for services to be performed in the future. f. Paid a cash dividend to the stockholders. g. Received cash in payment of accounts receivable. h. Paid accounts payable. i. Provided services for cash. j. Recognized expense for supplies used during the period. k. Recognized revenue for services completed for which cash had been collected previously. I. Incurred other operating expenses on account. m. Purchased land with cash.

Required Identify whether each of the following transactions is an asset source (AS), asset use (AU), asset exchange (AE), or claims exchange (CE). Also explain how each event affects the accounting equation by placing a + for increase, - for decrease, and NA for not affected under each of the components of the accounting equation. Finally, indicate whether the effect requires a debit or credit entry. The first event is recorded as an example. a. Purchased supplies on account. b. Acquired cash from the issue of common stock. c. Paid cash in advance for one year of rent. d. Paid salaries payable. e. Received cash for services to be performed in the future. f. Paid a cash dividend to the stockholders. g. Received cash in payment of accounts receivable. h. Paid accounts payable. i. Provided services for cash. j. Recognized expense for supplies used during the period. k. Recognized revenue for services completed for which cash had been collected previously. I. Incurred other operating expenses on account. m. Purchased land with cash.

College Accounting (Book Only): A Career Approach

12th Edition

ISBN:9781305084087

Author:Cathy J. Scott

Publisher:Cathy J. Scott

Chapter2: T Accounts, Debits And Credits, Trial Balance, And Financial Statements

Section: Chapter Questions

Problem 2E: List the classification of each of the following accounts as A (asset), L (liability), OE (owners...

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