Question

John is the owner of a tile company. His assets include $10,000 in cash, $9,500 in inventory and $5,000 in equipment. His liabilities include a $5,000 credit card balance and $900 in long-term debt. What is John's equity? Equity = ASSETS - LIABILITIES Hint: Do not forget to include the comma to separate the digits and to type the $ symbol! Example: $15,300 Question 2 options:

Answer 1

Answer:

$18,600

Step-by-step explanation:

so what you have to do is add 10,000 + 9,500 + 5,000 which gives you 24,500 then you put this number aside for a second and add 5,000 to 900 which gives you 5,900 and so you bring the 24,500 back and subtract it by 5,900 and your answer is 18,600

Answer 2

Total Assets

$\\ \tt\Rrightarrow 10000+9500+5000$

$\\ \tt\Rrightarrow 19500+5000$

$\\ \tt\Rrightarrow 24500$

Total liabilities

$\\ \tt\Rrightarrow 5000+900$

$\\ \tt\Rrightarrow 5900$

Equity:-

$\\ \tt\Rrightarrow 24500-5900=18600$