Compute the following as of May 31, 2018: (A.) Total assets (B.) Total liabilities (C.) Owners' equity

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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On April 30, 2018, the balance sheet of China Collectibles showed total assets of $700,000, total liabilities of $400,000, and owners' equity of $300,000. The following transactions occurred in May of 2018:

(1) Capital stock was issued in exchange for $165,000 cash.

(2) The business purchased equipment for $360,000, paying $160,000 cash and issuing a note payable for $200,000.

(3) The business paid $70,000 of its accounts payable.

(4) The business collected $54,000 of its accounts receivable.

 

Compute the following as of May 31, 2018:

(A.) Total assets

(B.) Total liabilities

(C.) Owners' equity

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