A. Total assets of Charter Company equal $710,000 and its equity is $425,000. What is the amount of its liabilities

Question

asked Mar 9, 2021 20.9k views

1 Answer

Lova · Answer 1 · 2021-03-15T14:49:45+0000

Answer:

the amount of its liabilities is $285,000

Step-by-step explanation:

From the Accounting Equation, we know that :

Assets - Liabilities = Equity

Therefore,

Liabilities = Assets - Equity

= $710,000 - $425,000

= $285,000