Total assets $120,00, Stockholdedrs' equity is $40,000, during the year income earned is $90,000, and paid $20,000 in dividends. Total assets at the end of the year were $215,000. What was the total liabilities at the end of the year?

Assets = Liab. + SEquity
Therefore, Liab. = Assets - SEquity

First find Stockholder Equity for end of year.

$40,000 SE (beginning)
+90,000 Net Income
-20,000 Dividends
= $110,000 SEquity (end of year)

Assets ($215,000) = Liab. (X) - SEquity ($110,000)

Liab. (X) = ($215,000) - ($110,000)

Liabilities = $105,000

Oh, and please post in the Homework link going forward. ;)