Question

(b) The total assets of Splish Brothers Inc. are $59.000. Common stock account is $16,000dividends are $8,000; revenues. 552.

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Answer #1

Retained Earnings = Revenues - Expenses - Dividends
Retained Earnings = $52,000 - $31,500 - $8,000
Retained Earnings = $12,500

Total Equity = Common Stock + Retained Earnings
Total Equity = $16,000 + $12,500
Total Equity = $28,500

Total Liabilities = Total Assets - Total Equity
Total Liabilities = $59,000 - $28,500
Total Liabilities = $30,500

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