I am supposed to assume that on June 30th after my balance sheet has been prepared, a fire destroyed one of my tents, which had cost $14,300. The tent was not insured. Explain what changes would be required in my June 30th balance shee to reflect the loss of this asset.

As you can see I understand how to subtract it on the asset side. But I do not know what category to take it from on the Liability side. I'm assuming that he owned the tent so the only thing I can guess it would come out of is the Capital Stock. But it's not actual stock so that could be wrong.

HERE COME THE CLOWNS!
Balance Sheet
June 30, 2007

Assets Liabilities & Stockholders' Equity
Cash $32,520 Liabilities:
Notes receivable 9,500 Notes payable $180,000
Accounts receivable 7,450 Accounts payable 26,100
Animals 189,060 Salaries payable 9,750
Cages 24,630 Total liabilities $215,850
Costumes 31,500 Owners' equity:
Props and equipment 89,580 Capital stock $310,000
Tents 63,000 Retained earnings 27,230 337,230
Trucks & wagons 105,840
Total $ 553,080 Total $553,080

b. Explain what changes would be required in your June 30 balance sheet to reflect
The loss of an uninsured tent that cost $14,300.