If the Balance Sheet shows $75,000 in assets and $4,000 in liabilities, what is the company's equity?
A)$71,000.
B)$79,000.
C)$81,000.
D)$89,000.
E)None.

Name: If the Balance Sheet shows $75,000 in assets and $4,000 in liabilities, what is the company's equity? A)$71,000. B)$79,000. C)$81,000. D)$89,000. E)None.
Brand: Quizplus
Rating: 4.8 (30 reviews)

Question

Quizplus · Accepted Answer

Equity is calculated as Assets minus Liabilities. Therefore, $75,000 (assets) - $4,000 (liabilities) = $71,000 (equity).

If the Balance Sheet Shows $75,000 in Assets and $4,000