Ask Question
20 October, 18:34

At the beginning of 2019, a corporation had assets of $270,000 and liabilities of $160,000. During 2019, assets increase $25,000 and liabilities increase $5,000. What was stockholders' equity on December 31, 2019?

+5
Answers (1)
  1. 20 October, 19:24
    0
    Shareholders Equity = $130000

    Explanation:

    given data

    asset beginning = $270,000

    liabilities beginning = $160,000

    assets increase = $25,000

    liabilities increase = $5,000

    solution

    Shareholders Equity on Dec 31, 2014 is $111000

    first we get here total Assets that is express as

    total Assets = Assets at the beginning + assets increase ... 1

    total Assets = $270000 + $25,000

    total Assets = $295000

    now we get total Liabilities that is

    total Liabilities = Liabilities at beginning + liabilities increase ... 2

    total Liabilities = $160,000 + $5,000

    total Liabilities = $165000

    so here Shareholders Equity will be as

    Shareholders Equity = total Assets - total Liabilities ... 3

    Shareholders Equity = $295000 - $165000

    Shareholders Equity = $130000
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “At the beginning of 2019, a corporation had assets of $270,000 and liabilities of $160,000. During 2019, assets increase $25,000 and ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers