Question
Inspirational Inc. is a motivational consulting business. At the end of its accounting period, October 31, 20Y2, Inspirational has assets of $663,560 and liabilities of
Inspirational Inc. is a motivational consulting business. At the end of its accounting period, October 31, 20Y2, Inspirational has assets of $663,560 and liabilities of $209,680. Using the accounting equation and considering each case independently, determine the following amounts:
a. Stockholders' equity as of October 31, 20Y2. $fill in the blank 1
b. Stockholders' equity as of October 31, 20Y3, assuming that assets increased by $104,840 and liabilities increased by $63,040 during 20Y3. $fill in the blank 2
c. Stockholders' equity as of October 31, 20Y3, assuming that assets decreased by $52,420 and liabilities increased by $18,580 during 20Y3. $fill in the blank 3
d. Stockholders' equity as of October 31, 20Y3, assuming that assets increased by $87,590 and liabilities decreased by $33,180 during 20Y3. $fill in the blank 4
e. Net income (or net loss) during 20Y3, assuming that as of October 31, 20Y3, assets were $836,090, liabilities were $136,030, and no additional common stock was issued or dividends paid. $fill in the blank 6
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