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On August 31st of the current year, the assets and liabilities of Gladstone Inc are as follows: Cash $30,000; Supplies, $600; Equipment, $10,000; Accounts Payable, $8,500. What is the amount of equity as of August 31 of the current year?

$32,100

Alpha Company has assets of $600,000, liabilities of $250,000, and equity of $350,000. It buys office equipment on credit for $75,000. What would be the effects of this transaction on the accounting equation?

Assets increase by $75,000 and liabilities increase by $75,000

If the liabilities of a company increased by $74,000 during a period of time and the stockholders' equity decreased by $19,000 during the same period, what was the effect on the assets?

Assets would have increased by $55,000

Atlantic Corporation reported the following amounts at the end of the first year of operations: common stock $200,000; sales revenue $800,000; total assets $600,000; dividends declared; $40,000; and total liabilities $320,000. What are Atlantics' retained earnings at the end of the year, and what amount of expenses were incurred during the year?

Retained earnings are $80,000 and expenses incurred are totaled $680,000

Which of the following purposes would financial statements serve for external users?

To fulfill regulatory requirements for companies whose stock is sold to the public

Which of the following describes the primary objective of the balance sheet?

To report the financial position of reporting entity at a particular point in time