In each of the following situations, the total increase or decrease for one component of the accounting

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In each of the following situations, the total increase or decrease for one component of the accounting equation is missing:

(a) Assets increased by $9,400; liabilities increased by $3,200.

(b) Liabilities decreased by $2,000; owner's equity increased by $10,000.

(c) Assets decreased by $6,200; owner's equity decreased by $12,500.

(d) Owner's equity increased by $27,500; liabilities decreased by $5,715.

(e) Assets increased by $12,600; owner's equity decreased by $25,750.

Required: Using Assets: $60,000 = Liabilities: $20,000 + Owner's Equity: $40,000 as the beginning accounting equation, for each of the preceding situations determine (I) the total increase or decrease for the missing component of the equation, and (2) the amount of each component in the ending accounting equation. Treat each situation independently.  lop1

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Accounting Information For Business Decisions

ISBN: 9780030224294

1st Edition

Authors: Billie Cunningham, Loren A. Nikolai, John Bazley

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