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You Find The Following Financial Information About A Company: Net Working Capital = $855; Ficed Assets = $6785; Total Assets = $11,430, and long term dept = $4,173. What is the company total equity?

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Final answer:

The company's total equity is $7,257, calculated by subtracting the Long-term Debt of $4,173 from Total Assets of $11,430 using the basic accounting equation.

Step-by-step explanation:

To calculate the company's total equity, we use the fundamental accounting equation: Assets = Liabilities + Equity. From the following financial information provided, we know that Total Assets = $11,430 and Long-term Debt (part of liabilities) = $4,173. If there are no other liabilities, equity can be calculated as follows:

Equity = Total Assets - Total Liabilities

To find Total Liabilities, we would typically subtract Net Working Capital and Fixed Assets from Total Assets to get Current Liabilities, but since we're not given Current Liabilities directly, it is assumed that Net Working Capital has already been factored into the Total Assets figure. Thus:

Equity = Total Assets - Long-term Debt

Equity = $11,430 - $4,173

Equity = $7,257

Therefore, the company's total equity is $7,257.

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