Acc121 Survey of Accounting: E2-10 Juniper Delivery Service had the following

Acc121 Survey of Accounting

E2-10
Juniper Delivery Service had the following selected transactions during May:
1. Received cash from issuance of capital stock, $50,000
2. Received cash for providing delivery services, $18,000
3. Paid advertising expense, $1,000
4. Billed customers for delivery services, $35,000
5. Purchased supplies for cash, $2,100
6. Paid creditors, $2,000
7. Paid rent for May, $2,000
8 Received cash from customers on account, $16,700
9. determined that the cost of supplies on hand was $1,200;therefore $900 of supplies had been used during the month.
10. Paid dividends, $1500

Indicate the effect of each transaction on the accounting equation by listing the numbers identifying the transactions , (1) through (10), in a vertical column, and inserting at the right of each number the appropriate letter from the following list;
a. Increase in an asset, decrease in another asset.
b. increase in an asset, increase in a liability.
c. increase in an asset, increase in stockholders equity
d. Decrease in an asset, decrease in a liability
e. Decrease in an asset, decrease in stockholders equity
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