Question 1
Indicate which statement you would examine to find each of the following items: income statement, balance sheet, retained earnings statement, or statement of cash flows.
Question 2
Use the basic accounting equation to answer these questions.
(a) The liabilities of Daley Company are $98,780 and the stockholders equity is $234,900. What is the amount of Daley Company s total assets?
(b) The total assets of Laven Company are $175,600 and its stockholders equity is $88,600. What is the amount of its total liabilities?
(c) The total assets of Peterman Co. are $865,900 and its liabilities are equal to one fourth of its total assets. What is the amount of Peterman Co. s stockholders equity?
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