Diane Hendricks always dreamed of owning a recording studio. On February 1 Diane withdrew $10,000 from personal savings and deposited it in a new business checking account for Hendricks Sound. On February 2 Hendricks Sound made a $2,000 down payment on equipment that cost $8,000. The remaining balance will be paid at a later date. What is the accounting equation for Hendricks Sound after these transactions?

Answer rating: 100% (QA)

The accounting equation is Assets Liabilities Equity Lets break down the transactions and calculate ... View the full answer