Zoeckler Mowing & Landscaping's year-end 2018 balance sheet lists current assets of $350,000, fixed assets of $325,000, current liabilities of $145,000, and long-term debt of $185,000. Calculate Zoeckler's total stockholders' equity.

Question

Quizplus · Accepted Answer

Total stockholders' equity can be calculated using the balance sheet equation: Assets = Liabilities + Stockholders' Equity. Here, Assets = Current Assets + Fixed Assets = $350,000 + $325,000 = $675,000. Liabilities = Current Liabilities + Long-term Debt = $145,000 + $185,000 = $330,000. Therefore, Stockholders' Equity = Assets - Liabilities = $675,000 - $330,000 = $345,000.

Zoeckler Mowing & Landscaping's Year-End 2018 Balance Sheet Lists Current