On a Balance Sheet, Equity Equals [Blank]

question 40

Multiple Choice

On a balance sheet, equity equals [blank].

• A)total assets minus total liabilities
• B)current assets plus fixed assets
• C)fixed assets minus long-term debt
• D)long-term debt plus preferred stock plus common stock plus retained earnings

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Definitions:

Nearest 0.01%

An accuracy level in calculations where the result is rounded to the closest one-hundredth of a percent.

Equivalent Interest Rate

A rate that equates two or more interest arrangements by taking into account compounding periods and other terms.

Equivalent Interest Rate

An equivalent interest rate is the interest rate that equates to the compound interest over a different payment frequency, ensuring comparability among rates with different compounding periods.

Nearest 0.01%

Rounding off a number to the closest one-hundredth of a percent for precision in calculation or representation.