PDA

View Full Version : Finding liabilities and owners equity


Pamps
Feb 12, 2013, 11:26 AM
My textbook question begins with "Assuming no additional investments by or distributions to owners, compute the missing amounts for the 3 companies below

It gives me 3 companies assets and liabilities and owners equity at the beginning of the year and once again at the end of the year. I have the revenues and expenses during the year.

Assets Jan. 1: 360
Liabilities Jan. 1: 280
O.E. Jan.1 : 80

Assets Dec. 31: 380
Liabilities dec. 31: ?
OE. Dec 31: ?

Revenues: 80
Expenses: 100

How do I figure our those two blanks for this company over the course of one year?

paraclete
Feb 14, 2013, 10:44 PM
do you have a spreadsheet, if not simple mathematics and fill in the blanks; assets - liabilities = equity, revenue - expenses = profit. Equiity 1 + profit - dividends = equity 2.