Answer:
correct answer is b. $110,000
Explanation:
given data
total assets = $120,000
stockholders' equity = $40,000
net income = $90,000
dividends = $20,000
Total assets at the end = $215,000
solution
we get here total Stockholders' equity at the end year that is express as
total Stockholders' equity year end = Beginning Balance + Net Income - Dividend ..........................1
put here value and we get
total Stockholders' equity year end = $40,000 + $90,000 - $20,000
total Stockholders' equity year end = $110,000
so correct answer is b. $110,000
