Assignment: Discussion-The Accounting Equation
The accounting equation is assets = liabilities + owner's equity.
Explain the relationship between economic resources and claims to economic resources.
• Why must this equation always balance?
• What transactions increase or decrease owner's equity?
• How does net income or loss affect owner's equity?
• Provide an example of a transaction, applied to the accounting equation.
Format your assignment according to the following formatting requirements:
1. The answer should be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides.
2. The response also include a cover page containing the title of the assignment, the student's name, the course title, and the date. The cover page is not included in the required page length.
3. Also Include a reference page. The Citations and references should follow APA format. The reference page is not included in the required page length.