The accounting equation can be stated as:
A)Assets + Stockholders' Equity = Liabilities.
B)Assets -Liabilities = Stockholders' Equity.
C)Assets = Liabilities - Stockholders' Equity.
D)Assets - Stockholders' Equity + Liabilities = Zero.

Question

Quizplus · Accepted Answer

The accounting equation is assets = liabilities + stockholders' equity. By rearranging the equation, we can also state it as assets - liabilities = stockholders' equity. Therefore, the correct choice is B.

The Accounting Equation Can Be Stated As