Changes in Balances For each of the following, indicate whether an increase or a decease is required:

a. An investment by owners is reported as in cash and in Owners’ equity.

b. Sale of land at a profit results in in cash and in land. The excess of the sale price over its cost will be reported as in reported income.

c. A purchase of inventory on credit will result in in inventory and in accounts payable.

d. A distribution to owners in the form of a dividend results in in cash and in Owners’ equity.

e. When legal services are provided to a client by a law firm, the client must recognize in an expense and in accounts payable or in cash.