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PolarNik [594]
3 years ago
10

If a company has $10,000 in Cash, $2,000 in Accounts Receivable, $100,000 in Building and Land, $30,000 in Accounts Payable, and

$20,000 in Notes Payable, how much is the business worth or what is its equity?
Business
1 answer:
Alekssandra [29.7K]3 years ago
4 0

Answer:

the business is worth 162000

Explanation:

I added all of the stuff up to create a number have a nice day please

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The stockholder's equity will be increased by $500

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While stockholders equity is the amount of assets available to shareholders after all liabilities have been settled , treasury stock is the stock that is bought back by the issuing organisation with the aim of reducing the number of outstanding stock in the open market.

Looking at the scenario given , it was an indirect way of raising fund and increasing the equity of the stockholders equity as the treasury stock was later resold at a higher price.

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