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Simpson Auto Body Repair purchased $18,856 of Machinery. The company paid $3,732 in cash at the...

Simpson Auto Body Repair purchased $18,856 of Machinery. The company paid $3,732 in cash at the time of the purchase and the remainder was purchased on account to be paid in four monthly installments. a. How will the purchase affect the accounting equation? Increase total assets by a net amount of $ 15,124 and increase liabilities by $ 15,124 . b. How will the payment of the first monthly installment affect the accounting equation (ignore interest)? Decrease assets by $ 3,781 and decrease liabilities by $ 3,781

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