Texts: Mr. ER established the Osman Company on January 1, 2018, and the company made some transactions during January 2018.
a) Analyze the effects of transactions mentioned below on the accounting equation. The column headings should be as follows: Cash, Accounts Receivable, Equipment, Accounts Payable, Owner's Capital, Owner's Drawings, Revenues, Expenses.
1- Mr. Er started his business by investing 20,000 TL in cash.
2- Purchased office equipment for 4,000 TL in cash.
3- Received cash for business services, 1,500 TL.
4- Provided services for 2,500 TL on credit.
5- Paid salaries of 1,200 TL.
6- Incurred 600 TL of advertising costs on credit.
7- Collected receivables of 500 TL for transaction 4 above.
8- Withdrew 1,000 TL for personal use.
b) Prepare the financial statements of the ER Company using accounting data based on the transactions mentioned above.
Format required: MS Word, Times New Roman font, size 13, line spacing 1.0.
Pages required: 3-6 (Plagiarism rate must not be more than 20 percent).