
Answer and Explanation:
Accounting equation is
Total assets = Total liabilities + Shareholder equity
The equity would be
= $800,000 - $300,000
= $500,000
a. The equity would be
Total assets = $800,000 + $150,000 = $950,000
Total liabilities = $300,000 -$60,000 = $240,000
So, the equity is
= $950,000 - $240,000
= $710,000
b. Total assets Â
Total liabilities = $300,000 + $100,000 = $400,000
Owner equity = $500,000 - $70,000 = $430,000
So, the total assets is Â
= $400,000 + $430,000
= $830,000
c. Total liabilities equal to
Total assets = $800,000 - $80,000 = $720,000
Total equity = $500,000 + $120,000 = $620,000
So, the total liabilities
= $720,000 - $620,000
= $100,000