Question

Question 1 Presented below is the basic accounting equation. Determine the missing amounts. Assets = Liabilities + Owner’s Equity
(a) $80,000 $59,000 $

(b) $ $47,000 $65,000

(c) $88,000 $ $54,000

Answer 1

Answer:

(a) $21,000

(b) $112,000

(c) $34,000

Explanation:

Accounting equation is as follows:

Assets = Liabilities + Owner’s Equity

(a) $80,000 = $59,000 + Owner’s Equity

$80,000 - $59,000 = Owner’s Equity

$21,000 = Owner’s Equity

(b) Assets = $47,000 + $65,000

                = $112,000

(c) $88,000 = Liabilities + $54,000

$88,000 - $54,000 = Liabilities

$34,000 = Liabilities