The following balance sheet information is given for Minerva, Inc., at June 30, 2019:
Assume that, during the next three days, the following transactions occurred:
July 1 Paid $15,000 on accounts payable.
2 Purchased equipment for $75,000 and gave a note payable for the amount due.
3 Declared and paid a cash dividend, $12,000.
a. What was the amount of retained earnings on June 30, 2019?
b. Assume a balance sheet is prepared on July 3, 2019, after the three transactions have occurred:
(1) What amount of total assets would appear?
(2) What amount of total liabilities would appear?
(3) What amount of stockholders' equity would appear?

Question

The following balance sheet information is given for Minerva, Inc., at June 30, 2019: 
  Assume that, during the next three days, the following transactions occurred:
July 1 Paid $15,000 on accounts payable.
2 Purchased equipment for $75,000 and gave a note payable for the amount due.
3 Declared and paid a cash dividend, $12,000.
a. What was the amount of retained earnings on June 30, 2019?
b. Assume a balance sheet is prepared on July 3, 2019, after the three transactions have occurred:
(1) What amount of total assets would appear?
(2) What amount of total liabilities would appear?
(3) What amount of stockholders' equity would appear?

Quizplus · Accepted Answer

The Answer of The following balance sheet information is given for Minerva, Inc., at June 30, 2019: 
  Assume that, during the next three days, the following transactions occurred:
July 1 Paid $15,000 on accounts payable.
2 Purchased equipment for $75,000 and gave a note payable for the amount due.
3 Declared and paid a cash dividend, $12,000.
a. What was the amount of retained earnings on June 30, 2019?
b. Assume a balance sheet is prepared on July 3, 2019, after the three transactions have occurred:
(1) What amount of total assets would appear?
(2) What amount of total liabilities would appear?
(3) What amount of stockholders' equity would appear?

The Following Balance Sheet Information Is Given for Minerva, Inc