The accounting equation is an equation that shows the connection between the three major types of accounts; assets, liabilities, and equity. As per this equation, the amount of total assets is equal to the sum of total liabilities and total equity for the business. To calculate: the amount of net income (loss) for the year 2016.

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Chapter 1, Problem 1.6.2E

To determine

Concept Introduction:

The accounting equation is an equation that shows the connection between the three major types of accounts; assets, liabilities, and equity. As per this equation, the amount of total assets is equal to the sum of total liabilities and total equity for the business.

To calculate: the amount of net income (loss) for the year 2016.

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