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8 December, 07:55

A company's balance sheet shows: cash $26,000, accounts receivable $32,000, equipment $54,000, and equity $74,000. What is the amount of liabilities?

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  1. 8 December, 08:08
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    Answer: $38,000

    Explanation:

    Given that,

    Company's balance sheet shows that,

    Cash = $26,000

    Accounts receivable = $32,000

    Equipment = $54,000

    Equity = $74,000

    Liabilities = Cash + Accounts receivable + Equipment - Equity

    = $26,000 + $32,000 + $54,000 - $74,000

    = $38,000

    Therefore, the amount of liabilities is $38,000.
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