Share
Explore BrainMass

Basic Accounting Problems

Determine the missing amounts...

Please see attached for full question.

Attachments

Solution Preview

E1-7
The basic accounting equation is
Assets = Liabilities + Owners Equity
This equation is used to fill up the beginning of year figures. Subsequently, the changes during the year are calculated. For Rollinstone this is 23,000. This change will be on account of new investment and chnages in retained earnings due to income from the year. Year end income can be calculated from Total Revenues and Total Expenses. A part of this income is paid as dividend and the balance goes to Retained Earnings. For Rollinstone this comes to ...

Solution Summary

Basic accounting problems relating to accounting equation, cost principle and debits and credits

$2.19