Question

At the end of last year, the company's assets totaled $879,000 and its liabilities totaled $749,500. During the current year, the company's total assets increased by $59,900 and its total liabilities increased by $24,950.
At the end of the current year, stockholders' equity was $______.

Answer 1

Answer:

$ 164,450

Explanation:

Opening  assets = $879,000

Opening liabilities = $ 749,500

Increase in Assets = $59,900

Increase in Liabilities = $24,950

Closing assets = Opening Assets + Increase in Assets

= $879,000 + $59,900

= $ 938,900

Closing Liabilities = Opening Liabilities + Increase in Liabilities

= $749,500 + $24,950

= $ 774,450

At the end of the current year,

Stockholder's Equity = Total Assets- Total Liabilities

                                   = $ 938,900 -  $ 774,450

                                   = $ 164,450