uni ctice At the beginning of the year Morales Company had t

uni ctice At the beginning of the year, Morales Company had total assets of $809,000 and total l (o) If total assets Increased $151,000 during the year and total liabilities decreased $82,000, what is the amount of stockholders\' equity at the end of the year? .coo,what iss eo ma abilities of $556,000. Treat each tem independently.) each Stockholders\' equity $ requity s 4ss 860 (b) During the year, total liabilities increased $90,000 and stockholders\' equity decreased s Total assets 73,000. What is the amount of total assets at the end of the year? K TO TEXT INTERACTIVE TUTORIAL

Solution

Total assets=Total liabiltiies+Total equity

Total equity at beginning=(809000-556000)=$253000

1.Total assets at end=(809000+151000)=$960,000

Total liabilities at end=(556000-82000)=$474000

Total equity=(960,000-474000)=$486000.

2.Total liabilities at end=(556000+90000)=$646000

Total equity=(253000-73000)=$180,000

Hence Total assets=(180,000+646000)=$826000.

3.Total assets would be =(809000-89000)=$720,000

Total equity=(253000+113000)=$366000

Hence Total liabilties=(720,000-366000)=$354000.