required: compute the missing amounts in the following table.\n| | assets | = | liabilities | + | owners’…

required: compute the missing amounts in the following table.\n| | assets | = | liabilities | + | owners’ equity |\n| a. | $680,000 | | $220,000 | | \n| b. | | | 230,000 | | 100,000 |\n| c. | 500,000 | | | | 200,000 |

required: compute the missing amounts in the following table.\n| | assets | = | liabilities | + | owners’ equity |\n| a. | $680,000 | | $220,000 | | \n| b. | | | 230,000 | | 100,000 |\n| c. | 500,000 | | | | 200,000 |

Answer

Explanation:

Step1: Recall the accounting equation

Assets = Liabilities + Owners’ Equity.

Step2: Solve for a.

We know Assets = $680,000$ and Liabilities = $220,000$. Using the equation, Owners’ Equity = Assets - Liabilities. So, Owners’ Equity = $680000 - 220000=460000$.

Step3: Solve for b.

We know Liabilities = $230,000$ and Owners’ Equity = $100,000$. Using the equation, Assets = Liabilities + Owners’ Equity. So, Assets = $230000 + 100000 = 330000$.

Step4: Solve for c.

We know Assets = $500,000$ and Owners’ Equity = $200,000$. Using the equation, Liabilities = Assets - Owners’ Equity. So, Liabilities = $500000 - 200000=300000$.

Answer:

a. $460,000 b. $330,000 c. $300,000