Maeve Irwin is the CEO of Maeve's Spa. At the end of its accounting period, December 31, 2013, Maeve's Spa has assets of £450,000 and liabilities of £125,000. Using the equation that holds for equality of assets to liabilties and shareholders' equity, determine the following amounts:
a)Shareholders’ Equity as of December 31, 2013.

b)Shareholders’ Equity as of December 31, 2014, assuming that assets increased by £65,000 and liabilities increased by £35,000 during 2014£.

Question

Maeve Irwin is the CEO of Maeve's Spa. At the end of its accounting period, December 31, 2013, Maeve's Spa has assets of £450,000 and liabilities of £125,000. Using the equation that holds for equality of assets to liabilties and shareholders' equity, determine the following amounts:
 a)Shareholders’ Equity as of December 31, 2013.

b)Shareholders’ Equity as of December 31, 2014, assuming that assets increased by £65,000 and liabilities increased by £35,000 during 2014£.

Quizplus · Accepted Answer

The Answer of Maeve Irwin is the CEO of Maeve's Spa. At the end of its accounting period, December 31, 2013, Maeve's Spa has assets of £450,000 and liabilities of £125,000. Using the equation that holds for equality of assets to liabilties and shareholders' equity, determine the following amounts:
 a)Shareholders’ Equity as of December 31, 2013.

b)Shareholders’ Equity as of December 31, 2014, assuming that assets increased by £65,000 and liabilities increased by £35,000 during 2014£.

Maeve Irwin Is the CEO of Maeve's Spa