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EX 1-7 Accounting equation Show We Obj. 3, 4 Annie Rasmussen is the owner and operator of Go4, a motivational consulting business. At the end of its accounting period. December 31, 2018, Go44 has assets of $720,000 and liabilities of $180,000. Using the accounting equation and considering each case independently, determine the following amounts: a. Annie Rasmussen, capital, as of December 31, 2018, b. Annte Rasmussen, capital, as of December 31, 2019, assuming that assets increased by $96.500 and liabilities increased by $30,000 during 2019. A c. Annie Rasmussen, capital, as of December 31, 2019. assuming that assets decreased by $168.000 and liabilities increased by $15.000 during 2019 d. Annie Rasmussen, capital as of December 31, 2019, assuming that assets increased by $175.000 and liabilities decreased by $18,000 during 2019, Net Income (or net loss) during 2019. assuming that as of December 31, 2019, assets were S8830.000 abilities were $220,000, and there were no additional investments or withdrawals 4 80 Bad 13 F2 9 # 3 A LA % 5 6 7 2 page is using significant energy. Closing it may improve the responsiveness of your Mac. Obj. 4 Example Exercise 13 Bridgeport Delivery Service is owned and operated by Jerome Foley. The following selected transactions were completed by Bridgeport Delivery Service during February Show Me How 1. Received cash from owner as additional investinent. $40,000 2. Billed customers for delivery services on account, $13.750 3. Paid creditors on account, $2,500. 4. Received cash from customers on account. $9.000. 5. Paid cash to owner for personal use, $1,000 Indicate the effect of each transaction on the accounting equation elements (Assets, Liabilities, Owner's Equity, Drawing, Revenue, and expense). Also indicate the specific item within the accounting equation element that is affected. To illustrate the answer to (1) follows: (1) Asset (Cash) increases by $40.000 Owner's Equity (Jerome Poley, Capital) Increases by $40,000