Question

Determine the missing amount for each of the following:

Answer 1

Answer:

(a) $3,930,000

(b) $386,200

(c) $1,337,500

Explanation:

(a) Assets = Liabilities + Owner's Equity

Assets = $556,000 + $3,374,000

           = $3,930,000

(b) Assets = Liabilities + Owner's Equity

$6,111,200 = Liabilities + $5,725,000

Liabilities = $6,111,200 - $5,725,000

                 = $386,200

(c) Assets = Liabilities + Owner's Equity

$2,150,000 = $812,500 + Owner's Equity

Owner's Equity = $2,150,000 - $812,500

                          = $1,337,500