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ncis121
Feb 14, 2014, 03:12 PM
Beginning assets were $719,000, beginning equity was $234,500, revenue for the year was $542,000, common stock issued during the year totaled $358,000, expenses for the year were $401,500, ending equity is $770,000, and ending assets were $991,500. What are the ending liabilities for the year?

Cat1864
Feb 14, 2014, 03:15 PM
While we are happy to give guidance and help, we need to see your work or have you explain where you are having problems.

Thank you.

pready
Feb 14, 2014, 04:00 PM
Just use the basic accounting equation, which is: Assets = Liabilities + Owners Equity.

Since you know the ending assets and ending liabilities you can solve for ending Liabilities be rearranging the formula to: Ending Liabilites = Ending Assets - Ending Equity.