How do I find owners equity given :
Cash
Short-term invest.
Net receivables
Inventory
Total assets
Total current liabilities
Long term note payable
Income from operations
Interest expense
![]() |
How do I find owners equity given :
Cash
Short-term invest.
Net receivables
Inventory
Total assets
Total current liabilities
Long term note payable
Income from operations
Interest expense
First add your total current liabilities and your long-term liabilities together to get total liabilities.
Now take your total assets and subtract your total liabilities to get owners equity.
The rest of the amounts are not needed.
December 31, 2013
Assets = Liabilities + Equity
? = 29,000 + Equity
Company C
Assets?
Liabilities: 29,000
During year: Stock Issuances 6,000
Net Income : 8,000
Cash dividends: 5,875
Not enough information provided. You need additional information for Company C either in Beginning amounts or Ending amounts.
Company C
December 31, 2012
Assets 24,000
Liabilities 9,000
December 31, 2013
Assets ?
Liabilities 29,000
During year 2013
Stock issuances 9750
Net income 8,000
Cash dividends 5,875
Need help finding the amount of assets and equity for December 31, 2013.
First thing you have to find is equity for 2012. The basic accounting equation is:
Assets = Liabilities + Equity
Rewritten as:
Equity = Assets - Liabilities
Now you can find Equity for 2013. The formula is:
Ending Equity (2013) = Beginning Equity (2012) + Stock Issuances + Net Income - Cash Dividends
Now that you have Equity for 2013 you can solve for Assets for 2013. The formula is:
Assets (2013) = Liabilities (2013) + Equity (2013).
All times are GMT -7. The time now is 06:56 PM. |