Selected Transactions for Sarah's Kitchen Are Shown Below

question 43

Essay

Selected transactions for Sarah's Kitchen are shown below. State the effect in dollars on the accounting equation of each transaction.
a)Sarah Cook invests $20,000 cash into a business known as Sarah's Kitchen.
b)Sarah purchases kitchen supplies on account for $500.
c)Sarah purchases a new oven for $6,500 cash.
d)Sarah receives and pays the kitchen's utilities bill amounting to $425.
e)Kitchen revenue for the current period amounts to $2,500. (All revenue transactions involved cash.) $\begin{array} { | l | l | l | l | } \hline \text { Item } & \text { Assets } & \text { Liabilities } & \begin{array} { l } \text { Owner's } \\\text { Equity }\end{array} \\\hline \text { a) } & & & \\\hline \text { b) } & & & \\\hline \text { c) } & & & \\\hline \text { d) } & & & \\\hline \text { e) } & & & \\\hline \text { Totals } & & & \\\hline\end{array}$

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Definitions:

Procedural Justice

The fairness of the processes that are used to make decisions.

Strict Policy

A set of firm and unbending rules or guidelines that are rigorously enforced within an organization or system.

Disciplines

Branches of knowledge, often studied and applied as part of education or professional practice.

Tardiness

The habit of being late or delayed beyond the expected or scheduled time.