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Madison Hardware, a franchise of Ace Hardware Corporation, pays quarterly rent of $15,000 to Baldwin...

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Accounting

Madison Hardware, a franchise of Ace Hardware Corporation, pays quarterly rent of $15,000 to Baldwin Commercial Real Estate at the beginning of each quarter for its location in Baldwin Mall.

Using the balance-sheet-equation format, analyze the effects of the following on the tenant's and the landlord's financial position:

1. Madison Hardware pays $15,000 rent on July1. 2. Adjustment for July. 3. Adjustment for August. 4. Adjustment for September.

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