Reference no: EM13257028
The Fashion Statement Inc. distributed perfumes and cosmetics.The following account changes were made in the company's accounting records during March. For each item, describe the transaction that caused the changes. The first item has beencompleted as an example.
a. Cash increased $18,000; Contributed Capitalincreased $18,000. The owners invested $18,000 in thecompany.
b. Equipment increased $12,000; Cash decreased$12,000.
c. Cash decreased $8,500; Notes Payabledecreased $8,500.
d. Supplies inventory increased $13,500; Cashdecreased $13,500.
e. Merchandise Inventory decreases $10,000;Cost of Goods Sold increased $10,000.
f. Cash increased $23,500; Sales Revenueincreased $23,500.
g. Supplies Expense increased $3,000; Suppliesinventory decreased $3,000.
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