The following events occurred for Johnson Company: Received investment of cash by organizers and distributed to them 1,040 shares of $1 par value common stock with a market price of $25 per share.
Purchased $7,400 of equipment, paying $1,300 in cash and owing the rest on accounts payable to the manufacturer.
Borrowed $8,000 cash from a bank.
Loaned $1,500 to an employee who signed a note.
Purchased $16,317 of land; paid $7,000 in cash and signed a note for the balance.
Required:For each of the events (a) through (e), perform transaction analysis and indicate the account, amount, and direction of the effect (+ for increase and ? for decrease) on the accounting equation. Check that the accounting equation remains in balance after each transaction. (If no impact on accounting equation leave cells blank.)