From simple questions to complex issues, IDNLearn.com has the answers you need. Ask any question and receive comprehensive, well-informed responses from our dedicated team of experts.
Sagot :
To calculate the owner's equity for XYZ Company, we need to follow these steps:
1. Calculate Total Assets:
- Cash: \[tex]$34,000 - Inventory: \$[/tex]23,000
- Property: \[tex]$98,000 Add these amounts to get the total assets. \[ \text{Total Assets} = \$[/tex]34,000 + \[tex]$23,000 + \$[/tex]98,000 = \[tex]$155,000 \] 2. Calculate Total Liabilities: - Notes: \$[/tex]31,000
- Wages: \[tex]$42,000 Add these amounts to get the total liabilities. \[ \text{Total Liabilities} = \$[/tex]31,000 + \[tex]$42,000 = \$[/tex]73,000
\]
3. Determine Owner's Equity:
- We are given stock (\[tex]$45,000) and investment (\$[/tex]37,000) which needs to be subtracted from the total assets after accounting for the liabilities.
First, subtract the total liabilities from the total assets:
[tex]\[ \text{Total Assets} - \text{Total Liabilities} = \$155,000 - \$73,000 = \$82,000 \][/tex]
Then, subtract the stock and investment from this result:
[tex]\[ \text{Owner's Equity} = \$82,000 - \$45,000 - \$37,000 = \$0 \][/tex]
Therefore, the owner's equity for XYZ Company is \$0.
1. Calculate Total Assets:
- Cash: \[tex]$34,000 - Inventory: \$[/tex]23,000
- Property: \[tex]$98,000 Add these amounts to get the total assets. \[ \text{Total Assets} = \$[/tex]34,000 + \[tex]$23,000 + \$[/tex]98,000 = \[tex]$155,000 \] 2. Calculate Total Liabilities: - Notes: \$[/tex]31,000
- Wages: \[tex]$42,000 Add these amounts to get the total liabilities. \[ \text{Total Liabilities} = \$[/tex]31,000 + \[tex]$42,000 = \$[/tex]73,000
\]
3. Determine Owner's Equity:
- We are given stock (\[tex]$45,000) and investment (\$[/tex]37,000) which needs to be subtracted from the total assets after accounting for the liabilities.
First, subtract the total liabilities from the total assets:
[tex]\[ \text{Total Assets} - \text{Total Liabilities} = \$155,000 - \$73,000 = \$82,000 \][/tex]
Then, subtract the stock and investment from this result:
[tex]\[ \text{Owner's Equity} = \$82,000 - \$45,000 - \$37,000 = \$0 \][/tex]
Therefore, the owner's equity for XYZ Company is \$0.
We greatly appreciate every question and answer you provide. Keep engaging and finding the best solutions. This community is the perfect place to learn and grow together. Find clear answers at IDNLearn.com. Thanks for stopping by, and come back for more reliable solutions.