Using the accounting equation to analyze transactionsTiny Town Kennel earns service revenue by caring for the pets of customers. Tiny Town Kennel is organized as a corporation. During the past month, Tiny Town Kennel has the following transactions:Received $520 cash for service revenue earned.Paid $325 cash for salaries expense.Investors contributed $1,000 to the corporation in exchange for common stock.Earned $640 for service revenue, but the customer has not paid Tiny Town Kennel yet.Received utility bill of $85, which will be paid next month.Cash dividends of $100 were paid to stockholders.Indicate the effects of the business transactions on the accounting equation for Tiny Town Kennel. Transaction (a) is answered as a guide.(a). Increase asset (Cash); Increase equity (Service Revenue)

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Description: Using the accounting equation to analyze transactionsTiny Town Kennel earns service revenue by caring for the pets of customers. Tiny Town Kennel is organized as a corporation. During the past month, Tiny Town Kennel has the following transactions:Re

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Excel Applications for Accounting Principles

4th Edition

ISBN:9781111581565

Author:Gaylord N. Smith

Publisher:Gaylord N. Smith

Chapter1: Business Transactions (ptrans)

Section: Chapter Questions

Problem 6R: On June 1 of the current year, Wilson Wood opened Woodys Web Services. This sole proprietorship had...

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Using the accounting equation to analyze transactions

Tiny Town Kennel earns service revenue by caring for the pets of customers. Tiny Town Kennel is organized as a corporation. During the past month, Tiny Town Kennel has the following transactions:

Received $520 cash for service revenue earned.
Paid $325 cash for salaries expense.
Investors contributed $1,000 to the corporation in exchange for common stock.
Earned $640 for service revenue, but the customer has not paid Tiny Town Kennel yet.
Received utility bill of $85, which will be paid next month.
Cash dividends of $100 were paid to stockholders.

Indicate the effects of the business transactions on the accounting equation for Tiny Town Kennel. Transaction (a) is answered as a guide.

(a). Increase asset (Cash); Increase equity (Service Revenue)

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