Martha's House of Mirrors, Inc. had sales of $1,067,200 for 2005, of which $860,000 was on account and the rest in cash. The company incurred total expenses of $938,800 during the year, of which $440,000 was on account and the rest in cash. The company purchased $189,600 of supplies on account, collected $314,000 of accounts receivable, paid $110,400 of accounts payable, and declared and paid a $168,800 dividend. What effect did these transactions have on the company's total stockholders' equity? Increase $458,000 Increase $128,400 Decrease $150,800 Decrease $40,400 None of the above.
Martha's House of Mirrors, Inc. had sales of $1,067,200 for 2005, of which $860,000 was on account and the rest in cash. The company incurred total expenses of $938,800 during the year, of which $440,000 was on account and the rest in cash. The company purchased $189,600 of supplies on account, collected $314,000 of accounts receivable, paid $110,400 of accounts payable, and declared and paid a $168,800 dividend. What effect did these transactions have on the company's total stockholders' equity? Increase $458,000 Increase $128,400 Decrease $150,800 Decrease $40,400 None of the above.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Martha's House of Mirrors, Inc. had sales of $1,067,200 for 2005, of which $860,000 was on account and the rest in cash. The company incurred total expenses of $938,800 during the year, of which $440,000 was on account and the rest in cash. The company purchased $189,600 of supplies on account, collected $314,000 of accounts receivable, paid $110,400 of accounts payable, and declared and paid a $168,800 dividend. What effect did these transactions have on the company's total
- Increase $458,000
- Increase $128,400
- Decrease $150,800
- Decrease $40,400
- None of the above.
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