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Hansen Enterprises experienced the following events during 2013:
1. Acquired cash from the issue of common stock. 2. Provided services to clients for cash. 3. Paid utilities expenses with cash. 4. Paid cash to reduce the principal on a bank note. 5. Sold land for cash at an amount equal to its cost. 6. Paid a cash dividend to the stockholders.
Required:
Explain how each of the events would affect the accounting equation by writing the letter I for increase, the letter D for decrease, and NA for does not affect under each of the components of the accounting equation.
The first event is shown as an example.
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