If the assets owned by a business total $70,000 and liabilities total $30,000,then owner's equity totals $100,000.

Name: If the assets owned by a business total $70,000 and liabilities total $30,000,then owner's equity totals $100,000.
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Quizplus · Accepted Answer

This is incorrect. According to the accounting equation, Assets = Liabilities + Owner's Equity. Therefore, if assets total $70,000 and liabilities total $30,000, then owner's equity should be $40,000 ($70,000 - $30,000).

If the Assets Owned by a Business Total $70,000 and Liabilities