Question

Question 2 of 12 -/15 During 2022, its first year of operations as a delivery service, Riverbed Corp entered into the following transactions. 1. 2. 3. 4. 5. Issued shares of common stock to investors in exchange for $146,000 in cash. Borrowed $45,000 by issuing bonds. Purchased delivery trucks for $63,000 cash. Received $15,000 from customers for services performed. Purchased supplies for $5,000 on account. Paid rent of $5,900 Performed services on account for $10,700, Paid salaries of $27,400 Paid a dividend of $10,100 to shareholders. 6. 7. 8. 9. Using the following tabular analysis, show the effect of each transaction on the accounting equation. Put explanations for changes to Stockholders' Equity in the far right column. (If a transaction causes a decrease in Assets, Llabilities or Stockholders' Equity, place a negative sign (or parentheses) in front of the amount entered for the particular Asset, Liability or Equity item that was reduced, see Nlustration 3-4 for example.) Assets Cash Accounts + Receivable Supplies + Equipment

Answer 1

			Assets			=		Liabilities	+	shareholders equity
	Cash ($) +	Accounts ($) +	supplies ($) +	Delivery ($) +	equipment($)	=	Accounts	bonds	common		Retained earnings
		Receivable		Trucks			payable ($) +	payable($) +	stock($) +	revenue($) -	expenses($) -	dividends($)
1)	146000								146000
2)	45000							45000
3)	-63000			63000
4)	15000									15000			service revenue
5)			5000				5000
6)	-5900										-5900		rent expense
7)		10700								10700			service revenue
8)	-27400										-27400		salary expenses
9)	-10100											-10100	Dividends
	$99600 +	$10700       +	$5000       +	$63000		.=	$5000          +	$45000      +	$146000      +	$25700	-$33300	-$10100