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  3. (2) mr. kopil is a chartered accountant. he starte

(2) Mr. Kopil is a Chartered Accountant. He started a new consultancy firm on May...

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Accounting

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(2) Mr. Kopil is a Chartered Accountant. He started a new consultancy firm on May 1, 2021. During the first month of operations the following transactions occurred: May1; He invested $ 2,80,000 cash in the consultancy firm. 10; Paid $ 9,500 cash for office rent for the month of May. 15; Purchased office equipment for $ 45,000 paying $ 20,000 in cash and for remaining, on account. 17; Paid $ 6,000 for fire insurance policy. 21; Performed service for a client and received cash of $ 15,000. 26; Performed service for a client but not yet received $ 5,000. 30; Withdrew $ 1,000 cash for personal use. 31; Received bill for utility expenses $ 1,400. The bill will be paid later on. Analyze the above transactions for the month of May in terms of their effect on the basic accounting equation. Record each transaction by increasing (+) or decreasing (-) the dollar amount of each item affected. Use the following column headings: Cash, Accounts Receivable, Office Equipment, Accounts payable, Capital, withdrawal, Revenue, Expense. [18.75 marks]

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