Question

The following accounts and balances were drawn from the records of Carolina Company on December 31, 2016:

Cash $4,000 Accounts receivable $ 3,400
Dividends 2,000 Common stock 3,900
Lands 3,200 Revenue 3,200
Accounts payable 1,800 Expense 2,200
Total assets on Carolina's December 31, 2016 balance sheet would amount to:
-$12,600.
-$13,800.
-$7,200.
-$10,600.

Answer 1

The total assets on Carolina Company's December 31, 2016 balance sheet amount to $10,600. This is calculated by adding up cash, accounts receivable, and land.

Step-by-step explanation:

The question relates to the calculation of total assets for Carolina Company's balance sheet as of December 31, 2016. To determine the total assets, one must add the cash, accounts receivable, land, and any other assets. In this case, Carolina Company has the following assets: Cash - $4,000, Accounts Receivable - $3,400, and Land - $3,200. Therefore, the calculation is as follows: $4,000 (Cash) + $3,400 (Accounts Receivable) + $3,200 (Land) = $10,600. This is the total value of assets that should appear on the balance sheet.