Use the Accounting Equation to Answer the Following Questions

question 32

Essay

Use the accounting equation to answer the following questions.
1. Penny Sales Co. has total assets of $140000 and total liabilities of $54000. What is owner's equity?
2. The Virtual Sun Center has total assets of $252000 and owner's equity of $100000. What are total liabilities?
3. Columbia River Restaurant has total liabilities of $50000 and owner's equity of $80000. What are total assets?

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Definitions:

Communicating

The act of conveying information or expressing ideas and emotions through speech, writing, gestures, or other methods.

Legal Implications

Legal implications refer to the potential consequences or legal outcomes that may result from actions, decisions, or business practices within the framework of the law.

Denying Credit

Refusing to extend financial credit or loans to an individual or entity based on assessment criteria such as credit history.

Counterproposal

A proposal offered in response to an initial proposal, aiming to negotiate or improve the terms of an agreement.