Showing posts with label Accounting. Show all posts
Showing posts with label Accounting. Show all posts

Accounting equation

Transaction (1):  Ray Neal decides to open a computer programming service which he names Softbyte. On September 1, 2012, Ray Neal invests $15,000 cash in the business.

 Transaction (2):  Purchase of Equipment for Cash. Softbyte purchases computer equipment for $7,000 cash.

Transaction (3):  Softbyte purchases for $1,600 from Acme Supply Company computer paper and other supplies expected to last several months.  The purchase is made on account.