For each of the following events, identify whether it is a an external event that would be recorded as a transaction (E), an internal event that would be recorded as an transaction (I), or not recorde

For each of the following events, identify whether it is a an external event that would be recorded as a transaction (E), an internal event that would be recorded as an transaction (I), or not recorded (NR).

1. A vendor for a company’s supplies is paid an amount owed on account.

2. A customer pays its open account.

3. A new chief executive is hired.

4. The biweekly payroll is paid.

5. Depreciation on equipment is recognized.

6. A new advertising agency is hired to develop a series of newspaper ads for the company.

7. The advertising bill for the first month is paid.

8. The accountant determines the federal income taxes owed based on the income earned during the period.

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