Indicate How Each Event Affects the Elements of Financial Statements

question 48

Essay

Indicate how each event affects the elements of financial statements.Use the following letters to record your answer in the box shown below each element.Use only one letter for each element.You do not need to enter amounts.

-On December 31,2016,Flagler Corporation had a balance of $20,000 on a line-of-credit with City Bank.Flagler made a payment of $11,200,which included $10,000 on the principal and $1,200 interest.Show the effects of this transaction on Flagler's financial statements.

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Definitions:

Assumption

A belief or statement taken for granted without proof.

Thieves

Individuals who illegally take someone else's property without permission with the intent to keep it or sell it.

Conclusion

The end or finish of an event, process, or text, often summarizing the main points or outcomes.

Subjective Well-being

An individual's self-assessment of their own happiness and life satisfaction.