↑

↓
NO. EFFECTS (↑↓) DOUBLE ENTRY
1 CASH ↑ 15,000.00 DR CASH 15,000.00

CAPITAL ↑ 15,000.00 CR CAPITAL 15,000.00

2 CASH ↓ 7,000.00 DR COMP EQUIP 7,000.00
COMP EQUIPMENT ↑ 7,000.00 CR CASH 7,000.00
3
A/C PAYABLE ↑ 1,600.00 DR SUPPLIES 1,600.00

SUPPLIES ↑ 1,600.00 CR ACCOUNT PAYABLE 1,600.00

4 CASH ↑ 1,200.00 DR CASH 1,200.00

SERVICE REVENUE ↑ 1,200.00 CR SERVICE REV 1,200.00

5 ADVERTISING EXP ↑ 250.00 DR ADVERTISING EXP 250.00

A/C PAYABLE ↑ 250.00 CR A/C PAYABLE 250.00

6 SERVICE REVENUE ↑ 3,500.00 DR CASH 1,500.00

CASH ↑ 1,500.00 A/C REC 2,000.00

A/C RECEIVABLE ↑ 2,000.00 CR SERVICE REV 3,500.00

7 CASH ↓ 1,700.00 DR RENT EXP 600.00
RENT EXP ↑ 600.00 SALARY EXP 900.00
SALARY EXP ↑ 900.00 UTILITIES EXP 200.00
UTILITIES EXP ↑ 200.00 CR CASH 1,700.00
8 A/C PAYABLE ↓ 250.00 DR A/C PAYABLE 250.00
CASH ↓ 250.00 CR CASH 250.00
9 A/C RECEIVABLE ↓ 600.00 DR CASH 600.00

CASH ↑ 600.00 CR A/C REC 600.00

10 CASH ↓ 1,300.00 DR DRAWINGS 1,300.00
DRAWINGS ↑ 1,300.00 CR CASH 1,300.00
 ACCOUNTING EQUATION
ASSETS = LIABILITIES + OWNER'S EQUITY
CASH COMP EQUIP SUPPLIES A/C REC A/C PAYABLE
15,000.00 15,000.00

-7000 7,000.00

1,600.00 1,600.00

1,200.00 1,200.00

250.00 -250

1,500.00 2,000.00 3,500.00

-1700 -600
-900
-200

-250 -250

600.00 -600

-1300 -1300

8,050.00 7,000.00 1,600.00 1,400.00 = 1,600.00 + 16,450.00

18,050.00 = 18,050.00
OWNER'S EQUITY

CAPITAL INVESTMENT

SERVICE REVENUE

ADV EXP

SERVICE REVENUE

RENT EXP
SALARY EXP
UTILITIES EXP

DRAWINGS
 + - ASSETS
ASSETS
CAPITAL DRAWINGS
OWNER'S EQUITY
+
REVENUE EXPENSES

NORMAL BALANCE
 ASSETS = LIABILITIES + OE
ASSETS = LIABILITIES + CAPITAL DRAWINGS

- - + - + + -

REVENUE EXPENSES

MAL BALANCE A - + + -
D
E