Begin by identifying the accounting equation and the formula to calculate the change in thestockholders' equity during a period. (Abbreviations used: Beg. equity= beginningequity; End. equity= endingequity.)

Accounting equation:

=

Assets = Liabilities + Equity

Stockholders' equity equation:

=

Beg. equity + Common stock issued + Net income or - Net loss - Dividends = End. equity

For each of the following situations that occurred inJune, 2018 with regard to common stock and dividends of acorporation, compute the amount of net income or net loss during June 2018. (Use a minus sign or parentheses for a netloss.)

a. The company issued $12,500 of common stock and paid no dividends.

Net income (loss) = $

77,500

b. The company issued no common stock. It paid cash dividends of $7,500.

Net income (loss) = $

97,500

c. The company issued $30,000 of common stock and paid cash dividends of $13,000.

Net income (loss) = $