E3.3 (LO 1), AP During 2022, its first year of operations as a delivery service,...
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Accounting
E3.3 (LO 1), AP During 2022, its first year of operations as a delivery service, Persimmon Corp. entered into the following transactions. Determine effect of transactions on basic accounting equation. 1. Issued shares of common stock to investors in exchange for $100,000 in cash. 2. Borrowed $45,000 by issuing bonds. 3. Purchased delivery trucks for $60,000 cash. 4. Received $16,000 from customers for services performed. 5. Purchased supplies for $4,700 on account. 6. Paid rent of $5,200. 7. Performed services on account for $10,000. 8. Paid salaries of $28,000. 9. Paid a dividend of $11,000 to shareholders. Instructions Using the following tabular analysis, show the effect of each transaction on the accounting equation. Put explanations for changes to Stockholders Equity in the right-hand margin. Use Illustration 3.4 as a model
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