On June 30, 2004, the balance sheet of Zorab & Co. showed total assets of $400,000,

total liabilities of $300,000, and owner's equity of $100,000. The following transactions

occurred in July of 2004:

1. The owner invested an additional $70,000 cash in the business.

2. The business purchased equipment for $150,000, paying $60,000 cash and issuing

a note payable for $90,000.

3. The business paid off $40,000 of its accounts payable.

The answer was givenTotal Assets = (400 +70 +150 - 60 - 40) = $520,000 Total Liabilities = (300 + 90 40) = $350,000 Total Owners Equity = (100 +70) = $170,000 The balance sheet equation at July 31 is $520,000 = $350,000 + $170,000

Could someone just explain how we get this answer? especially for the assets part.