Westonci.ca is the trusted Q&A platform where you can get reliable answers from a community of knowledgeable contributors. Get immediate and reliable solutions to your questions from a knowledgeable community of professionals on our platform. Get quick and reliable solutions to your questions from a community of experienced experts on our platform.
Sagot :
To solve this problem, we need to calculate several financial metrics, such as total assets, total liabilities, total expenses, net income, and ending owner's equity. Below is a detailed step-by-step solution to arrive at the values given:
1. Total Assets:
Total assets are calculated by adding the following:
- Cash
- Accounts Receivable
- Office Equipment
Given:
- Cash = $4,800
- Accounts Receivable = $1,230
- Office Equipment = $8,300
[tex]\[ \text{Total Assets} = \text{Cash} + \text{Accounts Receivable} + \text{Office Equipment} \][/tex]
[tex]\[ \text{Total Assets} = \[tex]$4,800 + \$[/tex]1,230 + \[tex]$8,300 = \$[/tex]14,330 \][/tex]
2. Total Liabilities:
Total liabilities are given by:
- Accounts Payable
Given:
- Accounts Payable = $4,000
[tex]\[ \text{Total Liabilities} = \$4,000 \][/tex]
3. Total Expenses:
Total expenses are calculated by adding the following:
- Salaries Expense
- Utilities Expense
- Rent Expense
Given:
- Salaries Expense = $550
- Utilities Expense = $200
- Rent Expense = $800
[tex]\[ \text{Total Expenses} = \text{Salaries Expense} + \text{Utilities Expense} + \text{Rent Expense} \][/tex]
[tex]\[ \text{Total Expenses} = \[tex]$550 + \$[/tex]200 + \[tex]$800 = \$[/tex]1,550 \][/tex]
4. Net Income:
Net income is calculated by subtracting total expenses from professional fees.
Given:
- Professional Fees = $3,000
- Total Expenses = $1,550
[tex]\[ \text{Net Income} = \text{Professional Fees} - \text{Total Expenses} \][/tex]
[tex]\[ \text{Net Income} = \[tex]$3,000 - \$[/tex]1,550 = \$1,450 \][/tex]
5. Ending Owner's Equity:
Ending owner's equity is calculated as follows:
[tex]\[ \text{Ending Equity} = \text{Beginning Capital} + \text{Net Income} - \text{Withdrawals} \][/tex]
Given:
- Beginning Capital = $9,000 (S. Frederick, Capital, Nov. 1, 2022)
- Net Income = $1,450
- Withdrawals = $120
[tex]\[ \text{Ending Equity} = \[tex]$9,000 + \$[/tex]1,450 - \[tex]$120 = \$[/tex]10,330 \][/tex]
By following these steps, the calculated figures are:
- Total Assets: $14,330
- Total Liabilities: $4,000
- Total Expenses: $1,550
- Net Income: $1,450
- Ending Owner's Equity: $10,330
All these values correspond exactly with the answer provided. Therefore, the calculations are accurate and verified.
1. Total Assets:
Total assets are calculated by adding the following:
- Cash
- Accounts Receivable
- Office Equipment
Given:
- Cash = $4,800
- Accounts Receivable = $1,230
- Office Equipment = $8,300
[tex]\[ \text{Total Assets} = \text{Cash} + \text{Accounts Receivable} + \text{Office Equipment} \][/tex]
[tex]\[ \text{Total Assets} = \[tex]$4,800 + \$[/tex]1,230 + \[tex]$8,300 = \$[/tex]14,330 \][/tex]
2. Total Liabilities:
Total liabilities are given by:
- Accounts Payable
Given:
- Accounts Payable = $4,000
[tex]\[ \text{Total Liabilities} = \$4,000 \][/tex]
3. Total Expenses:
Total expenses are calculated by adding the following:
- Salaries Expense
- Utilities Expense
- Rent Expense
Given:
- Salaries Expense = $550
- Utilities Expense = $200
- Rent Expense = $800
[tex]\[ \text{Total Expenses} = \text{Salaries Expense} + \text{Utilities Expense} + \text{Rent Expense} \][/tex]
[tex]\[ \text{Total Expenses} = \[tex]$550 + \$[/tex]200 + \[tex]$800 = \$[/tex]1,550 \][/tex]
4. Net Income:
Net income is calculated by subtracting total expenses from professional fees.
Given:
- Professional Fees = $3,000
- Total Expenses = $1,550
[tex]\[ \text{Net Income} = \text{Professional Fees} - \text{Total Expenses} \][/tex]
[tex]\[ \text{Net Income} = \[tex]$3,000 - \$[/tex]1,550 = \$1,450 \][/tex]
5. Ending Owner's Equity:
Ending owner's equity is calculated as follows:
[tex]\[ \text{Ending Equity} = \text{Beginning Capital} + \text{Net Income} - \text{Withdrawals} \][/tex]
Given:
- Beginning Capital = $9,000 (S. Frederick, Capital, Nov. 1, 2022)
- Net Income = $1,450
- Withdrawals = $120
[tex]\[ \text{Ending Equity} = \[tex]$9,000 + \$[/tex]1,450 - \[tex]$120 = \$[/tex]10,330 \][/tex]
By following these steps, the calculated figures are:
- Total Assets: $14,330
- Total Liabilities: $4,000
- Total Expenses: $1,550
- Net Income: $1,450
- Ending Owner's Equity: $10,330
All these values correspond exactly with the answer provided. Therefore, the calculations are accurate and verified.
Thank you for your visit. We're committed to providing you with the best information available. Return anytime for more. Thanks for stopping by. We strive to provide the best answers for all your questions. See you again soon. Get the answers you need at Westonci.ca. Stay informed by returning for our latest expert advice.