For each of the transactions identified, analyse how the asset, liability and/or equity accounts increase, decrease or remain unchanged.

For each of the transactions identified, analyse how the asset, liability and/or equity accounts increase, decrease or remain unchanged. (Hint: Remember the accounting equation.) You need to show the $amounts as well as indicate increase or decrease for each transaction.

		Assets (A)	Liabilities (L)	Equity (E)
a.	Obtained a loan to purchase a Trailer for $25,000.
b.	The owner took $15,000 of supplies for personal use.
c.	An accounts receivable, who owes $7,000, made a part payment of $4,000.
d.	Purchased stock for $18,000, paying $12,000 cash and the balance on credit.
e.	Paid $6,000 in respect of accounts payable in cash.
f.	Sold $10,000 of goods on credit.

Expert Solution

The increase/decrease in assets, liabilities and equity accounts will be as follows:

The increase in assets, liabilities or equity is shown as the positive figure and decrease in assets, liabilities or equity is shown as the negative/brackets figure in the given below table.

ekkarill92 answered 2 years ago

Question 1: For each of the transactions identified, state how the asset, liability and/or equity accounts...

Question 1: For each of the transactions identified, state how the asset, liability and/or equity accounts increase (↑), decrease (↓) or remain unchanged (-). Name the account. (a. is an example) ASSETS (A) = LIABILITIES (L) + EQUITY (E) a. Obtained a loan to purchase equipment for $65 000. ↑ Equipment $65 000 ↑ Loan $65 000 b. Customer pays $2000 of $5000 owing for services provided. c. A trade receivable, who owes $6000, made a...

For each of the following indicate the expected effect (e.g. increase, decrease, remain unchanged, etc.) in...

For each of the following indicate the expected effect (e.g. increase, decrease, remain unchanged, etc.) in the presence of significant multicollinearity: Coefficient estimates: Standard errors of the estimated coefficients: t-statistics: R-squared: Name two possible solutions if you detect multicollinearity in a regression.

what types of transactions increase and decrease contra asset accounts ?

"If the price of a commodity increases the quantity demanded can increase, decrease, or remain unchanged."...

"If the price of a commodity increases the quantity demanded can increase, decrease, or remain unchanged." While seemingly contradictory, each of these two statements is correct when placed in the proper context. Carefully demonstrate and explain the proper context for each of these statements.

Classify each of the following accounts as an asset, liability, stockholders’ equity, revenue, or expense item....

Classify each of the following accounts as an asset, liability, stockholders’ equity, revenue, or expense item. The Bonita Vista Golf & Country Club details the following accounts in its financial statements.

Identify each of the following accounts of Dispatch Services Co. as asset, liability, owner's equity, revenue,...

Identify each of the following accounts of Dispatch Services Co. as asset, liability, owner's equity, revenue, or expense, and state in each case whether the normal balance is a debit or a credit: Item Type of Account Debit or Credit a. Accounts Payable b. Accounts Receivable c. Ashley Griffin, Capital d. Ashley Griffin, Drawing e. Cash f. Fees Earned g. Office Equipment h. Rent Expense i. Supplies j. Wages Expense

1. Classify each of these transactions as an asset, a liability, or neither for each of...

1. Classify each of these transactions as an asset, a liability, or neither for each of the “players” in the money supply process – the Federal Reserve, the banking system, and nonbank public. a) You take a $10,000 loan from Bank One to buy an automobile b) You deposit $400 into your checking account at the First National Bank of Huntsville c) The Fed provides an emergency loan to a bank for $ 1 million d) A bank borrows $500,000...

Does the number of moles of products increase, decrease, or remain the same when each of...

Does the number of moles of products increase, decrease, or remain the same when each of the following equilibria is subjected to an increase in pressure by decreasing the volume? 1- CO(g)+H2O(g)⇌CO2(g)+H2(g) 2- 2CO(g)⇌C(s)+CO2(g) 3- N2O4(g)⇌2NO2(g) _______________________________________________ Ethyl acetate, a solvent used in many fingernail-polish removers, is made by the reaction of acetic acid with ethanol: CH3CO2H(soln)Aceticacid +C2H5OH(soln)Ethanol⇌CH3CO2H(soln)Ethylacetate+H2O(soln)ΔH∘=−2.9kJ Part A Does the amount of ethyl acetate in an equilibrium mixture increase or decrease when the temperature is increased? increase decrease...

True or False? -for any process the enthalpy of the universe must increase or remain unchanged....

True or False? -for any process the enthalpy of the universe must increase or remain unchanged. -and endothermic reaction results in heat being absorbed from the surroundings and a decrease in temperature of the surroundings.

A) Does the pH increase, decrease or remain the same on the addition of the of...

A) Does the pH increase, decrease or remain the same on the addition of the of the following? - A. B. C. LiF to and HF solution - A. B. C. KI to and HI solution - A. B. C. NH4Cl to and NH3 solution - A. ...

Question