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If a company receives $12,600 from the owner to establish a proprietorship, the effect on the accounting equation would be: Multiple Choice Assets decrease $12,600

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If a company receives $12,600 from the owner to establish a proprietorship, the effect on the accounting equation would be: Multiple Choice Assets decrease $12,600 and equity decreases $12.600. Assets increase $12,600 and liabilities decrease $12,600 Assets increase $12,600 and abilities increase $12,600 Liabilities increase $12,600 and equity decreases $12,600 Assets increase $12.600 and equity increases $12.600 NO 106 2,645 After the success of the company's first two months, Santana Rey continues to operate Business Solutions. The unadjusted trial balance of Business Solutions (reflecting its transactions for October and November of 2019) Account Title Debit Credit 101 Cash $ 39,164 Accounts receivable 12,818 126 Computer Supplies 128 Prepaid insurance 2,160 131 Prepaid rent 3,180 163 Office equipment 8,188 164 Accumulated depreciation-office equipment 167 Computer equipment 20,000 168 Accumulated depreciation-Computer equipment 201 Accounts payable e 210 Wages payable 236 Unearned computer services revenue 301 S. Rey, Capital 302 68,000 S. Rey, Withdrawals 403 6.100 Computer services revenue 32,019 Depreciation expense-Office equipment 613 Depreciation expense-Computer equipment 623 Wages expense 637 Insurance expense 2,575 640 Rent expense 0 652 Computer supplies expense Advertising expense 676 1,708 Mileage expense 577 Miscellaneous expenses 654 210 Repairs expense-Computer 795 Totals $100,019 $100,019 @ ant 612 655 @ 0 584 Business Solutions had the following transactions and events in December 2019 Dec. 2 Pad 980 cash to Hillside Mall for Business Solutions share of molt advertising costs. 4 Received 54,150 cash from Alex's Engineering Co. for the receivable from November 10 Paid cash to Lyn Addie for six days of work at the rate of $105 per day 14 Notified by Alex's Engineering Co. that business Solutions bid of 57,30 on a proposed project has be accepted. Alex's paid $2,300 cash advance Business Solutions. 15 Purchased $2.000 of computer suolies on credit fron Harris Office Products ME GI S Prov Next so 883 DU FS $ 2 3 4 % 5 6 7 8

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