Answer:
Determine the balance of the Cash account.
$3,800 Cash
Explanation:
As the total assets it's $40,000 by difference it's possible to find the total balance of cash account.
There are 3 accounts which belongs to the asset part, Accounts Receivable, Supplies and Equipment, by difference with the total balance of Assets it's possible to find the balance of Cash.
$40,000 TOTAL ASSETS
Minus
-$8,000 Accounts Receivable
-$2,000 Supplies
-$26,200 Equipment
$3,800 Cash
December 31, Year 3
$3,800 Cash
$8,000 Accounts Receivable
$2,000 Supplies
$13,800 TOTAL CURRENT ASSETS
$26,200 Equipment
$26,200 TOTAL NONCURRENT ASSETS
$40,000 TOTAL ASSETS
$8,000 Accounts Payable
$0,000 Income Tax Payable
$8,000 TOTAL CURRENT LIABILITIES
$8,000 TOTAL LIABILITIES
$17,000 Retained Earnings
$15,000 Common Stock
$32,000 TOTAL EQUITY
$40,000 TOTAL EQUITY + LIABILITIES
