Question

Is the correct answer 808 million?

Listed below are year-end account balances ($ in millions) taken from the records of Symphony Stores Debit Credit 710 Accounts receivable Building and equipment Cash Interest receivable Inventory Land Notes receivable (long-term) Prepaid rent Supplies Trademark Accounts payable Accumulated depreciation Additional paid-in capital Dividends payable Common stock (at par) Income tax payable Notes payable (long-term) Retained earnings Deferred revenue TOTALS 560 80 485 30 800 308 2,383 2,383 What would Symphony report as total shareholders' equity? Multiple Choice $323 millions $808 millions O $838 millions

Answer 1

Correct option is: $808 millions
Computation of total shareholder's Equity:		($ in millions)
Common stock (at par)	=	$                    15
Additional paid - in - capital	=	$                  485
Retained earnings	=	$                  308
Total Shareholder's Equity	=	$                  808