Total Liabilities Are $200,000 and Total Owners' Equity Is $100,000

question 59

Multiple Choice

Total liabilities are $200,000 and total owners' equity is $100,000.What are total assets?

• A)We need to know retained earnings before we can compute total assets.
• B)We need more information on current and long-term assets before we can compute total assets.
• C)$200,000
• D)$300,000

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Definitions:

Unemployment Tax Rate

A tax rate assigned to an employer, based on the number of unemployment claims filed by former employees, which funds unemployment compensation programs.

Federal Income Tax

A tax levied by the IRS on the annual earnings of individuals, corporations, trusts, and other legal entities.

Gross Payroll

The total amount an employer pays to its employees before deductions, such as taxes and retirement contributions, are made.

Federal Unemployment Compensation Tax

A federal tax imposed on employers to fund state workforce agencies and unemployment insurance.