The transactions for the Newman Company are below:
1.The owners invested $10,000 cash in the company.
2.The company acquired equipment that cost $8,000.25% was paid in cash and the rest was settled with a note.
3.The company acquired $2,800 of inventory and paid cash.
4.The company acquired $600 of supplies on account.
5.The company sold merchandise for $1,800 on account.The inventory had a cost of $1,000.
6.The company received $400 from Transaction #5.
7.The company paid $300 on accounts payable.
Required:
Prepare an analysis of Newman Company's transactions using the equation approach.

Question

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The Answer of The transactions for the Newman Company are below:
1.The owners invested $10,000 cash in the company.
2.The company acquired equipment that cost $8,000.25% was paid in cash and the rest was settled with a note.
3.The company acquired $2,800 of inventory and paid cash.
4.The company acquired $600 of supplies on account.
5.The company sold merchandise for $1,800 on account.The inventory had a cost of $1,000.
6.The company received $400 from Transaction #5.
7.The company paid $300 on accounts payable.
Required:
Prepare an analysis of Newman Company's transactions using the equation approach.

The Transactions for the Newman Company Are Below