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kondor19780726 [428]
3 years ago
10

United Airlines' 2016 balance sheet reported the following (in millions) Total Assets $40,091 Total Liabilities 31,485 Contribut

ed Capital 3,573 What was United Airlines' total liabilities and stockholders' equity at December 31, 2016?
Business
1 answer:
SpyIntel [72]3 years ago
6 0

Answer:

United Airlines' total liabilities and stockholders' equity at December 31, 2016 was $40,091.

Explanation:

Total Assets $40,091

Total Liabilities 31,485

Contributed Capital 3,573

Total liabilities and stockholders' equity at December 31, 2016

Total Asset = Total Equity + Total Liabilities

$40,091 =  Total Equity + Total Liabilities

Hence it is proved that Total liabilities and stockholders' equity is $40,091.

Balance of Liabilities of 31,485 and equity 3,573 does not satisfy the accounting equation as their balance is $35,058 which is not equal to total assets. Some value from equity and liabilities are missing which causes the inequality.

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