Kansas Enterprises purchased equipment for $79,000 on January 1, 2021. The equipment is expected to have a ten-year service life, with a residual value of $6,000 at the end of ten years. Using the straight-line method, depreciation expense for 2022 and the book value at December 31, 2022, would be:

Assume the perpetual inventory method is used. 1) the company purchased $12,500 of merchandise on account under terms 2/10, n/30. 2) the company returned $1,200 of merchandise to the supplier before payment was made. 3) the liability was paid within the discount period. 4) all of the merchandise purchased was sold for $18,800 cash. what effect will the return of merchandise to the supplier have on the accounting equation?