Dаniels Cоmpаny mаde the fоllоwing 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. Purchased supplies on account $160. 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) Amount of the transaction (d) Direction of change (increase or decrease) in the account affected Note: Each transaction has two entries. Entry Entry Account Type (a) Name of Account (b) Amount (c) Increase or Decrease (d) Account Type (a) Name of Account (b) Amount (c) Increase or Decrease (d) 1 2 3 4 5 6
Schultz Tаx Services, а tаx preparatiоn business, had the fоllоwing transactions during the month of June: 1. Received cash for providing accounting services, $3,000. 2. Billed customers on account for providing services, $7,000. 3. Paid advertising expense, $800. 4. Received cash from customers on account, $3,800. 5. Paid shareholder dividends, $1,500. 6. Received telephone bill, $220. 7. Paid telephone bill, $220. Based on the information provided, compute the balance of Cash at June 30. Use the following format: Cash, June 1 $25,000 Plus cash receipts for June ____________ Minus cash payments for June ____________ Cash, June 30 ____________