Indicate How Each Event Affects the Elements of Financial Statements $$\text { Increase } = \mathrm { I } \quad \text { Decrease } = \mathrm { D } \quad \text { No Effect } = \mathrm { N }$$

question 37

Short Answer

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. You do not need to enter amounts. $$\text { Increase } = \mathrm { I } \quad \text { Decrease } = \mathrm { D } \quad \text { No Effect } = \mathrm { N }$$
The Minneapolis Company spent $8,000 to improve the quality of one of its assets. $\begin{array}{|l|l|l|l|l|l|}\text { Assets Liabilities } & \text { Equity } & \text { Revenues } & \text { Expenses } & \begin{array}{c}\text { Net } \\\text { Income }\end{array} & \begin{array}{c}\text { Cash } \\\text { Flow }\end{array}\\\hline&&&\end{array}$

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Definitions:

Fibroblasts

A type of cell found in connective tissue which produces collagen and other fibers.

Leukocytes

White blood cells that are part of the immune system, protecting the body against both infectious disease and foreign invaders.

Retroviruses

A group of RNA viruses that insert a DNA copy of their genome into the host cell in order to replicate, e.g., HIV.

Invading Organisms

Pathogens, such as bacteria, viruses, and parasites, that enter the body and cause various diseases or infections.