Essay
Indicate the effects on the accounting equation of the following business transactions of Pilgrim Service Company for b)to d)below.The company is a sole proprietorship.Use proper account titles.Transaction a)is answered as a guide.
a)Maxwell Jones,the sole proprietor,contributed cash to the business in exchange for capital.
b) Received cash from a customer on accounts receivable.
c) Maxwell Jones withdrew cash from the business for personal use.
d) Paid cash on accounts payable.
Correct Answer:

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a)Increase asset (Cash); Increase equity...View Answer
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