Marvin Services Corporation Had the Following Accounts and Balances If the Balance of the Buildings Account Was $70,000 and

question 66

Multiple Choice

Marvin Services Corporation had the following accounts and balances: $$\begin{array} { l r l r } \text { Accounts payable } & \$ 30,000 & \text { Equipment } & \$ 35,000 \\\text { Accounts receivable } & 5,000 & \text { Land } & 35,000 \\\text { Buildings } & ? & \text { Unearned service revenue } & 10,000 \\\text { Cash } & 15,000 & \text { Total stockholders' equity } & ?\end{array}$$ If the balance of the Buildings account was $70,000 and $5,000 of Accounts Payable were paid in cash, what would be the balance of the total stockholders' equity?

• A)$135,000
• B)$120,000
• C)$170,000
• D)$130,000

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Definitions:

National Income

The total value of all income earned by the residents of a country in a given period, including wages, profits, and investment returns.

Entrepreneur

An individual who organizes, operates, and assumes the risk for a business venture, often introducing innovations and facilitating economic development.

Karl Marx

A 19th-century philosopher, economist, and revolutionary socialist known for his theories about capitalism and communism.

Demand For Land

The desire for ownership or use of land, driven by various factors including its potential for development, agricultural use, or investment.