Question: How do I solve for this? For each transaction below, write the net effect on Assets (A), Liabilities (L), Equity (E), Net Income Before Taxes

How do I solve for this?

For each transaction below, write the net effect on Assets (A), Liabilities (L), Equity (E), Net Income Before Taxes (NIBTL and Cash flows from operating activities (CFO), Cash ows from investing activities (CH), and Cash flows from nancing activities (CFH. (10.5 points) - Write I) for no effect and use negative numbers to indicate reductions in accounts or cash outflows Debt and interest are accounted for using the amortized cost 1' effective interest methods as in class (i.e., not fair value). The company uses Treasury stock to account for repurchased shares (not constructive retirement). The company is a retailer that uses US GAAP and has a reserve for warranty costs. Ignore income tax effects unless explicitly mentioned. Transaction A L E NIBT CFO CFl CFF Example: Accrue $50 of rent expense 0 50 750 750 0 0 O A. Purchase $12 inventory with (ash B. Recognize $34 of rent expense paid in a prior period ' C. Sell the inventory purchased in transaction A for $30 on account ' D. Recognize $56 of warranty expense ' ,_(,_',_(,_(,_' l l l l l ,_(,_',_(,_(,_' E. Pay $78 to improve a machine

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