Question
inspirational Inc. is a motivational consulting business . At the end of its accounting period, October 31, 20Y2, Inspirational has assets of $775,800 and liabilities
inspirational Inc. is a motivational consultingbusiness. At the end of itsaccountingperiod, October 31, 20Y2, Inspirational hasassetsof $775,800 andliabilitiesof $245,150. Using the accounting equation and considering each case independently, determine the following amounts:
Stockholders' equity as of October 31, 20Y2.
$
b.Stockholders' equity as of October 31, 20Y3, assuming that assets increased by $122,580 and liabilities increased by $73,700 during 20Y3.
$
c.Stockholders' equity as of October 31, 20Y3, assuming that assets decreased by $61,290 and liabilities increased by $21,720 during 20Y3.
$
d.Stockholders' equity as of October 31, 20Y3, assuming that assets increased by $102,410 and liabilities decreased by $38,790 during 20Y3.
$
e.Net income(ornet loss) during 20Y3, assuming that as of October 31, 20Y3, assets were $977,510, liabilities were $159,040, and no additional common stock was issued or dividends paid.
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