Bates Company Entered into the Following Transactions During Its First

question 136

Essay

Bates Company entered into the following transactions during its first year in business. Assume that all transactions involve the receipt or payment of cash.1)Issued common stock to investors for $25,000 cash.2)Borrowed $18,000 from the local bank.3)Provided services to customers for $28,000.4)Paid expenses amounting to $21,400.5)Purchased a plot of land costing $22,000.6)Paid a dividend of $15,000 to its stockholders.7)Repaid $12,000 of the loan listed in item 2.
Required:(a)Fill in the three column headings of the accounting equation in the first row of the table shown below.(b)Show the effects of the above transactions on the accounting equation.a. ________ = ________ + ________b.
Event Number1)2)3)4)5)6)7)

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Definitions:

Product Operation

The manner in which a product functions or is intended to be used, including its features, capabilities, and user interface.

Relevant Deadlines

Refers to the important or critical deadlines that are directly related to the completion or progress of a task or project.

Direct Formatted Message

A communication method where information is presented straightforwardly and without unnecessary embellishments, often used for clarity and efficiency.

Closing Paragraph

The final section of a piece of writing, summarizing the main points and providing a concluding thought or call to action.