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View Full Version : What is the equity at year end?


wmbenbow
Jan 14, 2011, 11:18 PM
Tot asset of 120000, liabilities 75000, owner equity of 45000. Business revenue 110000, paid expense of 36000, owner withdrew 63000. How much is the business equity @ year end

pready
Jan 15, 2011, 02:18 PM
Subtract expenses from revenues, which equas net income.
Add net income to owners equity.
Subtract owner withdrawals from owners equity.
Subtract liabilities and owners equity from total assets.