s an office as a financial advisor Previous Next Options Wey

s an office as a financial advisor, Previous Next Options Weygandt, Financial Accounting, 10e Help I System Announcenents Exercise 2-6 Cheyenne Corp. had the following transactions. 1. Borrowed $5,897 from the bank by signing a note. 2.Paid $2,949 cash for a computer. 3. Purchased $531 of supplies on account. (a) Indicate what accounts are increased and decreased by each transaction. Debit Analysis 1 2.

Solution

a Debit analysis Credit analysis 1 Cash Increase Notes payable Increase 2 Equipment Increase Cash Decrease 3 Supplies Increase Accounts payable Increase b Cash 5897      Notes payable 5897 Equipment 2949        Cash 2949 Supplies 531       Accounts payable 531