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ABC Co. has current assets of $50,0 and total assets of $150,0. ABC has current liabilities of $30,0 and total liabilities of $80,0.
according to the accountaing equation
total assets = capital + liabilites
150 = ? +80
150 =70 +80
dont get confused with current assets and current liabilities because in total assets and total liabilites these two values are already included. The total amount of the equity is $70.
am i right?
Answer: $70.0
Assets = Liabilities + Equity
Equity = Total Assets - Total Liabilities
=150.0 -80.0
=70.0
its $70. i.e. Total assets less total liabilities. Assuming there are no accumulated losses included in Total Assets
30 is the equity....bcoz its the current liabilities. (Equity shares)
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