Using Ledger Accounts to Classify Information The owners’ equity of Blowen Company at January 1 consisted of $300,000 of common stock outstanding and $520,000 of retained earnings. Assuming no dividends were paid, explain what additional event or events must have occurred for each of the following:

a. Retained earnings increased by $75,000. Expenses for the year were $610,000.

b. Retained earnings increased by $120,000. Revenues for the year were $940,000.

c. Retained earnings decreased by $45,000. Expenses for the year were $480,000.

d. Owners’ equity increased by $120,000. Revenues for the year were $220,000 and expenses were $190,000.

e. Owners’ equity increased by $230,000. Revenues for the year were $750,000. Additional stock was issued for

$325,000.