As of December 31, 2011, Lojas Company reported assets of R$3,700,000, liabilities of R$1,100,000, share capital of R$990,000 and retained earnings of R$1,610,000.Total equity reported on the statement of financial position as of that date is

Question

Quizplus · Accepted Answer

Total equity can be calculated using the formula: Total Equity = Share Capital + Retained Earnings. 
Therefore, Total Equity = R$990,000 + R$1,610,000 = R$2,600,000.

As of December 31, 2011, Lojas Company Reported Assets of R$3,700,000