Question

Bindy Crawford created a corporation providing legal services, Windsor, Inc., on July 1, 2022. On July 31 the balance sheet showed: Cash $6,100; Accounts Receivable $6,250; Supplies $950; Equipment $8,750; Accounts Payable $7,950; Common Stock $12,050; and Retained Earnings $2,050. During August the following transactions occurred.

Aug. 1		Collected $1,020 of accounts receivable due from customers.
4		Paid $2,650 cash for accounts payable due.
9		Performed services worth $5,430, of which $3,510 is collected in cash and the balance is due in September.
15		Purchased additional office equipment for $4,270, paying $490 in cash and the balance on account.
19		Paid salaries $1,400, rent for August $630, and advertising expenses $450.
23		Paid a cash dividend of $710.
26		Borrowed $5,900 from American Federal Bank; the money was borrowed on a 4-month note payable.
31		Incurred utility expenses for the month on account $450.

(a)

Prepare a tabular analysis of the August transactions beginning with July 31 balances. Include margin explanations for any changes in Retained Earnings. (If a transaction causes a decrease in Assets, Liabilities 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 Illustration 3-4 for example. Post entries in the order presented in the question.)