Use the following account balance information to compute TOTAL ASSETS as of the
ID: 2498700 • Letter: U
Question
Use the following account balance information to compute TOTAL ASSETS as of the END of the year.
Cost of Goods Sold $9,000
Accounts Payable 1,100
Paid-in Capital 2,000
Cash 400
Sales 10,000
Dividends 700
Retained Earnings (beginning) 1,000
Inventory 4,000
$4,400
$5,400
$5,100
$4,100
$3,000
$4,400
$5,400
$5,100
$4,100
$3,000
Explanation / Answer
Answer:
Total Assets should be $4400
i.e Cash + Inventory = $400 +4000 = $4400
or we can calculate in this way ;
Liabilities + Capital
1100 + (2000 + (1000-700) +(10000-9000)
1100+3300
= $ 4400
Thanks