A company has $72,000 in Assets and $23,000 of Stockholders' Equity. How much does the company have in Liabilities?

Question

Quizplus · Accepted Answer

The formula for the accounting equation is:
Assets = Liabilities + Stockholders' Equity
Rearranging the equation, we have:
Liabilities = Assets - Stockholders' Equity
Substituting the given values, we get:
Liabilities = $72,000 - $23,000 = $49,000
Therefore, the company has $49,000 in Liabilities.

A Company Has $72,000 in Assets and $23,000 of Stockholders