Chapter 3, Problem 3.4E

(a)

To determine

Transaction:

A transaction is a business event which has a monetary value that creates an impact on the business. The process of identifying the economic effects of each transaction of the business is known as transaction analysis.

Net income:

The net income is the difference between the total revenue, and the total expenses. The net income can be computed as:

$$

$\boxed{\text{Net}\text{income = Total revenues – Total expenses}}$

To describe: Each transaction of W company from the tabular analysis made during August 2017.

(b)

To determine

the stockholder’s equity increased for the month.

(c)

To determine

To compute: the net income for the month of August.