Daniels Company Made the Following Selected Transactions During May: 1 $\$ 55,000$

question 59

Essay

Daniels Company made the following selected transactions during May: 1. Received cash from sale of stock, $\$ 55,000$
2. Paid creditors on account, $\$ 7,000$
3. Billed customers for services on account, $\$ 2,565$
4. Received cash from customers on account, $\$ 8,450$
5. Paid dividends to stockholders, $\$ 2,500$
6. Received the utility bill, $\$ 160$ , to be paid next month ​ Indicate the effect of each transaction on the accounting equation by:
(a) Account type - (A)assets, (L)liabilities, (SE)stockholders' equity, (R)revenue, and (E)expense
b) Name of account
c) The amount by of the transaction
d) The direction of change (increase or decrease) in the account affected Note: Each transaction has two entries.

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Definitions:

Average Product

The output per unit of input, such as labor or capital, calculated by dividing total production by the number of input units.

Nonlabor Resources

Assets or inputs in production that are not related to direct human labor, such as machinery, raw materials, and land.

Total Product

The total quantity of output produced by a firm or economy, encompassing all goods and services.

Nonlabor Resources

Inputs in production that do not involve human labor, such as capital, land, and natural resources.