Determined that the cost of supplies on hand was 300 and

Question

The selected transactions below were completed by Cota Delivery Service during July:

Indicate the effect of each transaction on the accounting equation by choosing the appropriate letter from the following list:

1. Increase in anasset, decrease in another asset.
2. Increase in an asset, increase in aliability.
3. Increase in an asset, increase instockholders' equity.
4. Decrease in an asset, decrease in a liability.
5. Decrease in an asset, decrease in stockholders' equity.

1.  Received cash in exchange for common stock, $35,000.

2.  Purchased supplies for cash, $1,100.

3.  Paid rent for October, $4,500.

4.  Paid advertising expense, $900.

5.  Received cash for providing delivery services, $33,000.

6.  Billed customers for delivery services on account, $58,000.

7.  Paid creditors on account, $2,900.

8.  Received cash from customers on account, $27,500.

9.  Determined that the cost of supplies on hand was $300 and $8,600 of supplies had been used during the month.

10.  Paid cash dividends, $2,500.