Total assets, liabilities, and shareholders' equity are $22,000, $5,000, and $17,000 before land costing $10,000 is purchased in exchange for a $1,000 note payable and $9,000 cash. During the year, the company earned $50,000 of revenues of which only $45,000 was collected. Expenses totaling $44,000 were incurred, but $2,000 of this had not been paid by the end of the year. Show the amounts that would be reported on the accounting equation as a result of these transactions.

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The Answer of Total assets, liabilities, and shareholders' equity are $22,000, $5,000, and $17,000 before land costing $10,000 is purchased in exchange for a $1,000 note payable and $9,000 cash. During the year, the company earned $50,000 of revenues of which only $45,000 was collected. Expenses totaling $44,000 were incurred, but $2,000 of this had not been paid by the end of the year. Show the amounts that would be reported on the accounting equation as a result of these transactions.

Total Assets, Liabilities, and Shareholders' Equity Are $22,000, $5,000, and $17,000