Answer:
1) Equity = 320,000
2) Assets = 260,000
3) Result of operations for the month = 140,000
4) Ending balance of retained earnings = 210,000
Explanation:
1) Equity = Assets – Liabilities = 480,000-160,000 = 320,000
2) Asset = Liabilities + Equity = 100,000 + 160,000 = 260,000
3) Result of operations for the month = monthly revenues - monthly expenses = 365,000-225,000 = 140,000
4) Ending balance of retained earnings = Beginning balance of retained earnings + Net Income (revenue – expenses) – Dividend = 180,000 + 85,000 – 35,000 – 20,000 = 210,000
