1. If total liabilities decreased by $25,200 and stockholders' equity increased by $4,900 during a period of time, then total assets must change by what amount and direction during the same time period?
$30,100 increase.
$20,300 decrease.
$30,100 decrease.
$20,300 increase.
2. At September 30, Balance Corporation reported the following unadjusted amounts for its accounts, each of which is considered to be a normal account balance.
Accounts Payable $11,500
Accounts Receivable 2,400
Advertising Expense 1,250
Cash 86,000
Common Stock 63,000
Equipment 60,300
Note Payable 34,500
Rent Revenue 41,700
Retained Earnings 33,650
Supplies 2,400
Supplies Expense 700
Utilities Expense 2,600
Salaries and Wages Expense 28,700
Required:
Prepare an unadjusted trial balance.