https://file.aiquickdraw.com/mathbot/file/1727232099762e388dxq6.jpg

Let's go through the short-answer questions from the image:

---

1. **Identify the total assets for the following information:**
   - **Liabilities: $50,000**
   - **Owner's Equity: $30,000**

   **Solution:**
   \[
   \text{Total Assets} = \text{Liabilities} + \text{Owner's Equity}
   \]
   \[
   \text{Total Assets} = 50,000 + 30,000 = 80,000
   \]

   **Answer:** $80,000

---

2. **Predict the net income if the following information is provided:**
   - **Revenues: $120,000**
   - **Expenses: $90,000**

   **Solution:**
   \[
   \text{Net Income} = \text{Revenues} - \text{Expenses}
   \]
   \[
   \text{Net Income} = 120,000 - 90,000 = 30,000
   \]

   **Answer:** $30,000

---

3. **Trace the book value of the equipment for the following dataLet's go through the short-answer questions from the image:

---

1. **Identify the total assets for the following information:**
   - **Liabilities: $50,000**
   - **Owner's Equity: $30,000**

   **Solution:**
   \[
   \text{Total Assets} = \text{Liabilities} + \text{Owner's Equity}
   \]
   \[
   \text{Total Assets} = 50,000 + 30,000 = 80,000
   \]

   **Answer:** $80,000

---

2. **Predict the net income if the following information is provided:**
   - **Revenues: $120,000**
   - **Expenses: $90,000**

   **Solution:**
   \[
   \text{Net Income} = \text{Revenues} - \text{Expenses}
   \]
   \[
   \text{Net Income} = 120,000 - 90,000 = 30,000
   \]

   **Answer:** $30,000

---

3. **Trace the book value of the equipment for the following **
   - **Original Cost of Equipment: $50,000**
   - **Accumulated Depreciation: $12,000**

   **Solution:**
   \[
   \text{Book Value} = \text{Original Cost} - \text{Accumulated Depreciation}
   \]
   \[
   \text{Book Value} = 50,000 - 12,000 = 38,000
   \]

   **Answer:** $38,000

---

4. **Discover the amount of cash flow from operating activities if the following information is available:**
   - **Cash Received from Customers: $80,000**
   - **Cash Paid to Suppliers: $40,000**
   - **Cash Paid for Operating Expenses: $15,000**

   **Solution:**
   \[
   \text{Cash Flow from Operating Activities} = \text{Cash Received} - (\text{Cash Paid to Suppliers} + \text{Cash Paid for Operating Expenses})
   \]
   \[
   \text{Cash Flow} = 80,000 - (40,000 + 15,000) = 80,000 - 55,000 = 25,000
   \]

   **Answer:** $25,000

---

Would you like more detailed explanations on any of these solutions? Here are five related questions to explore:

1. How are assets, liabilities, and equity related in the accounting equation?
2. What factors can cause a business's net income to increase or decrease?
3. How does depreciation affect the book value of equipment over time?
4. What are some other sources of cash flows besides operating activities?
5. Why is it important to differentiate between cash flow and net income?

**Tip:** In financial accounting, the balance sheet always follows the equation: **Assets = Liabilities + Equity**, ensuring everything is accounted for accurately.

Identify the total assets, predict net income, trace the book value of equipment, and discover cash flow from operating activities based on the provided financial information.

Learn how to calculate total assets, net income, book value of equipment, and cash flow from operating activities using accounting formulas. Examples include $50,000 liabilities, $120,000 revenues, and $40,000 cash paid to suppliers. Ideal for accounting students.

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