Answer:
C. Owners equity increases by $750
Step-by-step explanation:
We are given that,
<em>The product is sold for $1500 which was purchased for $750.</em>
Since, 'Owner's equity is the difference of the assets and liabilities'.
As, the cost of the product (asset) = $750 and the selling price of the product (liabilities) = $1500
<h3>So, the difference of the price = 1500 - 750 = $750</h3>
Now, the difference being positive implies that the equity increases by $750.
Thus, the correct option is given by,
<h3>C. Owners equity increases by $750</h3>
