Answer:
Net assets after above transactions = $11,160
Explanation:
Provided information we have,
Investment by stockholder's = $5,400
Increase in cash, increase in assets.
Amount borrowed will increase liability and bank balance = $2,400
Purchase of supplies, will reduce cash and increase supplies inventory thus, no impact on assets.
Purchase of equipment of $5,400 will increase equipment and assets by same.
Cash paid for equipment will decrease the cash and decrease the assets = $2,040
Net impact on assets = $5,400 + $2,400 + 0 + $5,400 - $2,040 = $11,160
Net assets after above transactions = $11,160
