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The Analytical Framework Used to Evaluate Transactions Is Reproduced Below

Question 77

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The analytical framework used to evaluate transactions is reproduced below:
 Cash + Non-Cash = Liabilities + Contributed + Accumulated Other + Retained  Assets  Capital  Comprehensive  Earnings  Income \begin{array}{ccc}\text { Cash }+\text { Non-Cash }=\text { Liabilities } & +\text { Contributed } & +\text { Accumulated Other }+&\text { Retained } \\\text { Assets } & \text { Capital } & \text { Comprehensive }&\text { Earnings } \\& & \text { Income }\end{array}



Using this analytical framework indicate the effect of each of the following transactions for Wisco Corporation:1.Wisco sold merchandise for $225,000 on account which cost $170,000 to manufacture.
2.Wisco purchased for cash $110,000 of raw material inventory.
3.The company paid $25,000 in advance for an advertising campaign that would be aired next year.
4.Wisco paid its employees $15,000 for the month.
5.The company purchased $7,000 of supplies on account.
6.Wisco issued $25,000 of long-term debt.
7.The company used $10,000 of excess cash to purchase marketable securities.
8.Wisco purchased a machine for $22,000 in cash.
9.At the end of the year Wisco paid dividends of $5,000.
10.At the end of the year the marketable securities that Wisco purchased in transaction 7 were now worth $11,500.
11.Depreciation for the period was $1,500.

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