Question

During 2017, Marigold Corp. entered into the following transactions. 1. Borrowed $63,800 by issuing bonds. 2. Paid $9,320 cash dividend to stockholders. 3. Received $17,900 cash from a previously billed customer for services performed. 4. Purchased supplies on account for $4,600.

Answer 1

Answer:

Explanation:

From the given information, we are required to show the effect of each transaction on the accounting equation by using a tabular analysis.

Assets                 =                         Liabilities            +              Stockholders'

                                                                                                   Equity

Cash + Accounts + Supplies =Account+Bond Payable+Common | Retained

           Receiavble                |  Payable                             stock      | earnings

63800                                                         63800

-9320                                                                                                    -9320

17900    -17900

                                4600        4600