Answer:
a) the fees revenue will increase assets for 6,500
the earnings for 6,500 as the company is receiving this cash for services rendered.
And the cahs flow will increase for 6,500 as well as this fees are collected.
b) the dividend paid decrease equity as the cash leaves the company in favor of his owners.
no effect on the net income as this is neither an expense or income
it will decrease the cash by 10,000
c) the expenses will decrease the earnings by 4,500 as they are incurrend cost to operate the business.
it will decrease assets by 4,500 as the cash is no longer in the company
and the cash flow will also decrease by 4,500
Explanation:
