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If total assets equal 353,000 and total owners' equity equal 124,000, then total liabilities must equal?

User Ljetibo
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Final answer:

To find total liabilities, subtract total owners' equity from total assets. Given that total assets equal $353,000 and owners' equity equals $124,000, total liabilities are $229,000.

Step-by-step explanation:

If total assets equal $353,000 and total owners' equity equals $124,000, then total liabilities must equal the difference between the total assets and the total owners' equity. According to the accounting equation, Assets = Liabilities + Owners' Equity. So, if we rearrange the equation to solve for liabilities, we get Liabilities = Assets - Owners' Equity.

Therefore, to find the total liabilities, we subtract the total owners' equity from the total assets:

Liabilities = $353,000 - $124,000 = $229,000

So, the total liabilities must equal $229,000.

User Compcentral
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