Balance Sheet Jack and Jill Corporation's year-end 2013 balance sheet lists current assets of $250,000,fixed assets of $800,000,current liabilities of $195,000,and long-term debt of $300,000.What is Jack and Jill's total stockholders' equity?

Question

Quizplus · Accepted Answer

Total assets = current assets + fixed assets = $250,000 + $800,000 = $1,050,000
Total liabilities = current liabilities + long-term debt = $195,000 + $300,000 = $495,000
Total stockholders' equity = Total assets - Total liabilities = $1,050,000 - $495,000 = $555,000. Therefore, the correct answer is B.

Balance Sheet Jack and Jill Corporation's Year-End 2013 Balance Sheet