What is the amount of the change in stockholders' equity during the year?

Question

Quizplus · Accepted Answer

The change in stockholders' equity is calculated by subtracting the beginning total stockholders' equity from the ending total stockholders' equity. In this case, the beginning total stockholders' equity was $100,000 ($70,000 common stock + $30,000 retained earnings) and the ending total stockholders' equity was $121,000 ($70,000 common stock + $51,000 retained earnings). Therefore, the change in stockholders' equity was $21,000 increase (ending total stockholders' equity - beginning total stockholders' equity = $121,000 - $100,000 = $21,000 increase).

What Is the Amount of the Change in Stockholders' Equity