Using the Basic Accounting Equation
Use the basic accounting equation to answer the following:
a. Perkins Company has total assets of $420,000 and total liabilities of $252,000. How much is the company’s total stockholders’ equity?
$Answer
b. Gassol Company has total liabilities of $476,000 and total stockholders’ equity of $266,000. How much total assets does the company have?
$Answer
c. If Brown Company’s total assets increased by $98,000 during the year, and its total liabilities decreased during the same year by $14,000, what was the change in the company’s total stockholders’ equity?