a. For the balance sheet, identify how each transaction affects total assets, total liabilities, and total equity. For the income statement, identify how each transaction affects net income. b. For the statement of cash flows, identify how each transaction affects cash flows from operating activities, cash flows from investing activities, and cash flows from financing activities. Answer is not complete. a. Balance Sheet Statement of Cash Flows Income Statement Net Income Transaction Total Assets Total Liabilities Total Equity +700 Operating Activities Investing Activities Financing Activities +700 1. +700 2. +500 +500 +500 3. -300 -300 -300 4. +430 +430 5 +530 Owner invests $700 cash in business in exchange for stock Receives $500 cash for services provided Pays $300 cash for employee wages Buys $430 of equipment on credit Purchases $530 of supplies on credit Buys equipment for $630 cash Pays $470 on accounts payable Provides $670 services on credit Pays $320 cash for dividends Collects $695 cash on accounts receivable 6. -630 7. -470 -470 -470 8. +670 +670 9. -320 -320 -320 10. +695