Final answer:
The change in Puffin Co.'s stockholders' equity during the year is calculated as the difference between the ending and beginning equity. It increased by $23,100, arriving at this number by starting with the initial equity and factoring in the increase in assets and the decrease in liabilities.
Step-by-step explanation:
The question asks about the change in stockholders' equity for Puffin Co. during the year. To calculate this, we need to look at the change in assets and liabilities. Initially, Puffin Co. had assets of $107,000 and liabilities of $78,500. During the year, assets increased by $13,400 and liabilities decreased by $9,700.
Stockholders' equity is calculated by taking the total assets and subtracting the total liabilities. At the beginning of the year, the stockholders' equity would be $107,000 - $78,500 = $28,500. At the end of the year, assets were $107,000 + $13,400 = $120,400, and liabilities were $78,500 - $9,700 = $68,800. Thus, the ending stockholders' equity is $120,400 - $68,800 = $51,600.
The change in stockholders' equity is the difference between the ending and beginning equity, which is $51,600 - $28,500 = $23,100. Therefore, the amount of the change in Puffin Co.'s stockholders' equity during the year is $23,100.