misro2003
Jan 13, 2011, 09:34 AM
I am so confused with this accounting question, I understand that Assets = Liabilities + Equity, but how do you figure out Equity without the liability, only stocks, net income, and dividends? Here is the question...
What is the amount of equity on December 31, 2009?
FINANCIAL STATEMENT FOR COMPANY A
December 31, 2009:
Assets - 36,000
Liabilities - ?
During the year 2009:
Stock Issuances - 6,000
Net Income - 7.760
Cash Dividends - 3,500
What is the amount of equity on December 31, 2009?
FINANCIAL STATEMENT FOR COMPANY A
December 31, 2009:
Assets - 36,000
Liabilities - ?
During the year 2009:
Stock Issuances - 6,000
Net Income - 7.760
Cash Dividends - 3,500