Accounting Equation Balances Determine how each of the following transactions affects the accounting equation:

. Merchandise for resale is purchased on credit.

. A bank loan is repaid.

Owners invest cash.

. Buildings are purchased with cash.

. Land is sold for its original cost and cash is received.

. Land is sold for more than its original cost and cash is received. fh

. Wages earned by employees last year are now paid.

. Dividends are paid to shareholders.