“Aubrae Company is making adjusting entries for the year ended December 31 of the current year.

$20,000

Indicate the amount and the direction of effects of the adjusting entry on the elements of the balance sheet and income statement. Indicate + for increase, – for decrease.

A = L + SE, NE=R-E”

The answer seems A=-68,000 SE=-68,00 NI=-68,000 E=+68,000. Is this correct? I don’t know how to obtain those numbers.