Selected transactions for the Barkley Company are listed below:
1. Paid monthly utility bill.
2. Purchased new display case for cash.
3. Paid cash for repair work on security system.
4. Billed customers for services performed.
5. Received cash from customers billed in 4.
6. Withdrew cash for owner's personal use.
7. Incurred advertising expenses on account.
8. Paid monthly rent.
9. Received cash from customers when service was provided.
Instructions
List the number of the transaction and then describe the effect of each transaction on assets, liabilities, and owner's equity.
Sample: Made initial cash investment in the business. The answer would be: Increase in assets and increase in owner's equity.

Question

Quizplus · Accepted Answer

The Answer of Selected transactions for the Barkley Company are listed below:
1. Paid monthly utility bill.
2. Purchased new display case for cash.
3. Paid cash for repair work on security system.
4. Billed customers for services performed.
5. Received cash from customers billed in 4.
6. Withdrew cash for owner's personal use.
7. Incurred advertising expenses on account.
8. Paid monthly rent.
9. Received cash from customers when service was provided.
Instructions
List the number of the transaction and then describe the effect of each transaction on assets, liabilities, and owner's equity.
Sample: Made initial cash investment in the business. The answer would be: Increase in assets and increase in owner's equity.

Selected Transactions for the Barkley Company Are Listed Below