If the assets owned by a business total $100,000,owner's equity must also total $100,000.

Name: If the assets owned by a business total $100,000,owner's equity must also total $100,000.
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The owner's equity might not necessarily total $100,000 because the total assets ($100,000) could be financed by both liabilities and owner's equity. The accounting equation is Assets = Liabilities + Owner's Equity.

If the Assets Owned by a Business Total $100,000,owner's Equity