134. For each of the following transactions, indicate the type by entering "AS" for asset source transaction, "AU" for asset use transaction, "AE" for asset exchange transaction, and "CE" for claims exchange transaction.
1) ____Paid $10,000 for a plot of land.
2) ____Recorded the accrual of $1,000 in salaries to be paid the following week.
3) ____Issued common stock for $20,000 in cash.
4) ____Incurred operating expense on account.
5) ____Paid off its accounts payable.
6) ____Earned revenue to be collected at a future date.
7) ____Paid $2,000 in dividends to its stockholders.
8) ____Received cash from customers in #6 above.
9) ____Paid the salaries accrued in #2 above.
10) ___Borrowed money from a local bank.
135. Determine whether each of the following events are asset source (AS), asset use (AU), asset exchange (AE), or claims exchange (CE) transactions.
_____1) Borrowed $6,000 from creditors
_____2) Issued common stock to investors for $8,000 cash
_____3) Paid one year's rent in advance
_____4) Provided services to customers and received $35,000 cash
_____5) Paid creditors $10,000
_____6) Received $3,000 of revenue in advance
_____7) Provided services to customers on account, $12,000
_____8) Collected $2,000 from accounts receivable
_____9) Recognized accrued salary expense of $2,000
_____10) Adjusted the records for supplies used of $800
1) Borrowing cash is an asset source transaction that increases cash
2) Issuing common stock is an asset source transaction that increases cash
3 )Paying rent in advance is an asset exchange transaction that increases prepaid rent and decreases cash
4) Providing services for cash is an asset source transaction that increases cash
5) Paying creditors is an asset use transaction that decreases cash
6) Receiving an advance payment is an asset source transaction that increases cash
7) Providing services on account is an asset source transaction that increases accounts receivable
8) Collecting on accounts receivable is an asset exchange transaction that increases cash and decreases accounts receivable
9) Accruing salary expense is a claims exchange transaction that increases accounts payable and decreases retained earnings
10) Recognizing supplies expense is an asset use transaction that decreases supplies