Below is a list of activities for Vikings Incorporated.Required: For each activity, indicate the impact on the accounting equation. After doing all the transactions, ensure that the accounting equation remains in balance. Stockholders'TransactionAssetsLiabilities +Equity1. Issue common stock in exchangefor cash, $15,000.2. Obtain a loan from the bank for$9,000.3. Receive cash of $1,200 in advance+ $15,000$0++$15,000%3Dfrom customers.4. Purchase supplies on account, $2,400.5. Pay one year of rent in advance,$12,000.6. Provide services to customers onaccount, $3,000.7. Repay $4,000 of the loan in (2) above.8. Pay the full amount for suppliespurchased in (4) above.9. Provide services to customers in(3) above.10. Pay cash dividends of $1,000 tostockholders.Totals+|| | ||

Accounting Equation means the Asset side balance must get equal to the sum total of Shareholders'…

Answered: Stockholders' Transaction Assets…

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter3: Analyzing And Recording Transactions

Section: Chapter Questions

Problem 22EB: Prepare journal entries to record the following transactions: A. October 9, issued common stock in...

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Below is a list of activities for Vikings Incorporated.

Required:
For each activity, indicate the impact on the accounting equation. After doing all the transactions, ensure that the accounting equation remains in balance.

Stockholders'
Transaction
Assets
Liabilities +
Equity
1. Issue common stock in exchange
for cash, $15,000.
2. Obtain a loan from the bank for
$9,000.
3. Receive cash of $1,200 in advance
+ $15,000
$0
+
+$15,000
%3D
from customers.
4. Purchase supplies on account, $2,400.
5. Pay one year of rent in advance,
$12,000.
6. Provide services to customers on
account, $3,000.
7. Repay $4,000 of the loan in (2) above.
8. Pay the full amount for supplies
purchased in (4) above.
9. Provide services to customers in
(3) above.
10. Pay cash dividends of $1,000 to
stockholders.
Totals
+
|| | ||

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