Answer:
c. 515,000
Explanation:
Accountable Equation:
Assets = Liabilities + Stockholders' equity
With equation lets first find out Assets at the beginning of the year:
Assets = Liabilities + Stockholders' equity
Assets = 230,000 + 390,000
Assets = 620,000
Now, according to their increased and decreased, we can calculate Assets and Liabilities final balance.
Assets = 620,000 + 75,000 = 695,000
Liabilities = 230,000 - 50,000 = 180,000
And clearing from the accountable formula Stockholders' equity we can get the result to the question:
Assets = Liabilities + Stockholders' equity
Stockholders' equity = Assets - Liabilities
Stockholders' equity = 695,000 - 180,000
Stockholders' equity = 515,000