Byzu Engineering has $60,000 in assets. They also have $25,000 in liabilities and $5,000 in expenses, and they paid out $7,500 in dividends this year. The extended accounting equation is assets = liabilities + (revenue - (expenses + dividends)). What would their revenue need to be for their accounts to be in balance?
Byzu Engineering has $60,000 in assets. They also have $25,000 in liabilities and $5,000 in expenses, and they paid out $7,500 in dividends this year. The extended accounting equation is assets = liabilities + (revenue - (expenses + dividends)). What would their revenue need to be for their accounts to be in balance?
Chapter2: Analysis Of Financial Statements
Section: Chapter Questions
Problem 16PROB
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Transcribed Image Text:Byzu Engineering has $60,000 in
assets. They also have $25,000 in
liabilities and $5,000 in
expenses, and they paid out $7,500
in dividends this year. The
extended accounting equation is
assets = liabilities + (revenue -
(expenses + dividends)). What
would their revenue need to be for
their accounts to be in balance?
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