Massimo Company has been operating for one year (2019). You are a member of the management...

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Massimo Company has been operating for one year (2019). You are a member of the management team investigating expansion ideas. all of which will require borrowing funds from banks. At the start of 2020, Massimo's T-account balances were as follows: Assets Cash 1,600 Short-Term Investments 2.600 Liabilities Short-Term Notes Payable Long-Term Notes Payable 2,800 900 Shareholders' Equity Contributed Capital 1,060 Retained Earnings 2.540 Required: 1. Using the data from these T-accounts, complete the accounting equation on January 1, 2020: Assets Liabilities Shareholders Equity 7,300 - $ 3,700 + $ 3,600 Property and Equipment 3,100 2. Enter in the T-accounts the following transactions that occurred in 2020 a. Paid one-half of the principal on the long-term note payable. b. Sold $1,300 of the investments for $1,300 cash. c. Sold one-half of the property and equipment for $1,550 cash. d. Borrowed $2,600 from the bank and signed a note promising to pay the principal and interest at an annual rate of 5 percent in three years. Massimo Company has been operating for one year (2019). You are a member of the management team investigating expansion ideas. all of which will require borrowing funds from banks. At the start of 2020, Massimo's T-account balances were as follows: Assets Cash 1,600 Short-Term Investments 2.600 Liabilities Short-Term Notes Payable Long-Term Notes Payable 2,800 900 Shareholders' Equity Contributed Capital 1,060 Retained Earnings 2.540 Required: 1. Using the data from these T-accounts, complete the accounting equation on January 1, 2020: Assets Liabilities Shareholders Equity 7,300 - $ 3,700 + $ 3,600 Property and Equipment 3,100 2. Enter in the T-accounts the following transactions that occurred in 2020 a. Paid one-half of the principal on the long-term note payable. b. Sold $1,300 of the investments for $1,300 cash. c. Sold one-half of the property and equipment for $1,550 cash. d. Borrowed $2,600 from the bank and signed a note promising to pay the principal and interest at an annual rate of 5 percent in three years.