Chin Company's stockholders' equity equals one-third of the company's total assets. The company's liabilities are $120,000. What is the amount of the company's stockholders' equity?
Assets = Liabilities + Equity
A = 2/3 A + 1/3 A
2/3 A = $120,000
A = $120,000 x 3/2 = $180,000
Equity = $180,000 - $120,000 = $60,000
You might also like to view...
A market structure analysis is used to better understand the:
A) competition. B) customers. C) employees. D) social environment.
One common mistake made early in the risk identification process is to
A. Focus on consequences and not on the events that could produce consequences B. Not consider all possibilities C. Support participants being over pessimistic D. Encourage participants be over optimistic E. Give too much attention to past events
The marketing plan is based on the marketing mix of product, price, place, and packaging.
Answer the following statement true (T) or false (F)
Which of the following statements concerning the letter of last instructions is false?
A) It should provide information on your estate. B) It should name your current financial and business advisors. C) It should explain why you have structured your bequests the way you did. D) It should legally determine your beneficiaries.