Problem: Listed below are six transactions engaged in by a services company. For each transaction, give the effect on the accounts, using the format in the example.
Example: Bought equipment for cash
Increase Equipment
Decrease Cash
Note: do not use debits and credits in your answer, just increase and decrease. Consistency in format will make the grading easier.
1. Billed customer A for work performed.
2. Borrowed money from the bank on a short-term note.
3. Received payment from customer B for work to be performed later.
4. Received a bill for current period’s electicity usage.
5. Purchased office supplies on credit.
6. Received payment from customer A.