The Following Transactions Apply to Brunswick Corporation

question 3

Essay

The following transactions apply to Brunswick Corporation.
a) Issued common stock for $35,000 cash.
b) Provided services to customers for $18,000 on account.
c) Purchased land for $18,000 cash.
d) Purchased $500 of supplies on account.
e) Paid $9,000 for operating expenses.
f) Paid $450 on accounts payable.
g) Collected $15,000 cash from customers.
h) Accrued $400 of salary expense at year end.
i) Paid $2,500 dividends to stockholders.
Required:
a) Identify the effect on the statement of cash flows for each of the above transactions.
b) Classify the above accounting events into one of four types of transactions (asset source, asset use, asset exchange, claims exchange).

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Definitions:

Unconditioned Response

An automatic, natural response to a stimulus that occurs without any need for prior learning or conditioning.

Reflexive Response

A biological reaction to a stimulus that is instinctive and does not require conscious thought.

Conditioned Response

A learned reaction to a previously neutral stimulus that has become associated with an unconditioned stimulus through conditioning.

Conditional Reinforcement

Conditional reinforcement is the process by which a stimulus reinforces a behavior only when it is paired with a primary reinforcer or another strong reinforcer.