Question
Accounting Equation Inspirational Inc. is a motivational consulting business. At the end of its accounting period, December 31, 2017, Inspirational has assets of $693,210 and
Accounting Equation
Inspirational Inc. is a motivational consulting business. At the end of its accounting period, December 31, 2017, Inspirational has assets of $693,210 and liabilities of $219,050. Using the accounting equation and considering each case independently, determine the following amounts.
| a. Stockholders' equity as of December 31, 2017. | $fill in the blank 1 | |
| b. Stockholders' equity as of December 31, 2018, assuming that assets increased by $109,530 and liabilities increased by $65,850 during 2018. | $fill in the blank 2 | |
| c. Stockholders' equity as of December 31, 2018, assuming that assets decreased by $54,760 and liabilities increased by $19,410 during 2018. | $fill in the blank 3 | |
| d. Stockholders' equity as of December 31, 2018, assuming that assets increased by $91,500 and liabilities decreased by $34,660 during 2018. | $fill in the blank 4 | |
| e. Net income (or net loss) during 2018, assuming that as of December 31, 2018, assets were $873,440, liabilities were $142,110, and no additional capital stock was issued or dividends paid. |
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Fundamental financial accounting concepts
Authors: Thomas P. Edmonds, Frances M. Mcnair, Philip R. Olds, Edward
8th edition
978-0078025365
