using the balance sheet, calculate xyz companys owners equity.\nxyz company - balance sheet\n|assets|liabilit…

using the balance sheet, calculate xyz companys owners equity.\nxyz company - balance sheet\n|assets|liabilities|\n|--|--|--|\n|cash|$34,000|notes|$31,000|\n|inventory|$23,000|wages|$42,000|\n|property|$98,000|\n||owners equity|\n||stock|$45,000|\n||investment|$37,000|\nowner’s equity = $?

using the balance sheet, calculate xyz companys owners equity.\nxyz company - balance sheet\n|assets|liabilities|\n|--|--|--|\n|cash|$34,000|notes|$31,000|\n|inventory|$23,000|wages|$42,000|\n|property|$98,000|\n||owners equity|\n||stock|$45,000|\n||investment|$37,000|\nowner’s equity = $?

Answer

Explanation:

Step1: Calculate total assets

$34000 + 23000+98000=$155000$

Step2: Calculate total liabilities

$31000 + 42000=$73000$

Step3: Calculate owner's equity using the accounting - equation

According to the accounting equation $Assets = Liabilities+Owner's\ Equity$, so $Owner's\ Equity=Assets - Liabilities$. $155000-73000 - 45000-37000=$0$

Answer:

$0$