Answer:
a) December 31, 2013 Owner's equity = 508,000
b) December 31, 2014 Owner's equity = 420,000
Explanation:
Accounting Equation Formula: Owner's Equity = Assets - Liabilities
A) Way to Go LLC December 31, 2013
Owner's Equity = Assets – Liabilities
Owner's Equity = 669,000 – 161,000
Owner's Equity = 508,000
B) Way to Go LLC December 31, 2014
Owner's Equity = Assets – Liabilities
Owner's Equity = (669,000-127,000) – (161,000-39,000)
Owner's Equity = 420,000
