Use the following information as of December 31 to determine equity.
A) $57,000.
B) $141,000.
C) $297,000.
D) $438,000.
E) $579,000.

Question

Quizplus · Accepted Answer

Equity is calculated as the difference between assets and liabilities.
Equity = Total Assets - Total Liabilities
Based on the given information, we have:
Total Assets = $627,000
Total Liabilities = $330,000
Therefore, Equity = $627,000 - $330,000 = $297,000.
Hence, the best answer is choice letter C, which gives the calculated equity value.

Use the Following Information as of December 31 to Determine