Answer:
assets + 80,000
liaiblities + 80,000
equity: no effect
Explanation:
the land enter the accounting at cost, which is 100,000
cash, which is an assets will decrease by 20,000
the net effect on assets is 80,000
(100,000 from lñand - 20,000 ecrease in cash)
the amount financed through the promissory note will increase liaiblities for 80,000
equity will not be affected.
