Answered

On May 31 of the current year, the assets and liabilities of Riser, Inc. are as follows: Cash $20,500; Accounts Receivable, $7,250; Supplies, $650; Equipment, $12,000; Accounts Payable, $9,300. What is the amount of owner's equity as of May 31 of the current year?

Answer :

Answer:

Stockholders' Equity  = $31100

Explanation:

given data

Cash = $20,500

Accounts Receivable = $7,250

Supplies = $650

Equipment = $12,000

Accounts Payable = $9,300

to find out

amount of owner's equity

solution

we find here first Assets  is

Assets = Liabilities + Stockholders Equity

so

Cash + Accounts Receivable + Supplies + Equipment = Accounts Payable + Stockholders' Equity

$20,500 + $7,250 + $650 + $12,000 = $9,300 + Stockholders' Equity

$ 40400 = $9,300 + Stockholders' Equity

Stockholders' Equity  = $31100

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