Homework Answers
1. beginning stockholder's equity.
| Beginning assets | - beginning liabilities | = beginning stockholder's equity |
| 88,000 | - 15,000 | =73,000 |
2. ending stockholder's equity.
| ending assets | - ending liabilities | = ending stock holder's equity |
| 134,000 | - 60,000 | = 74,000. |
3.net income or net loss for the year:
| ending stock holders' equity | 74,000 |
| less: beginning stock holders' equity | (73,000) |
| add: dividends paid | 75,000 |
| less:sale of stock | (10,000) |
| net income or net loss | 66,000 |
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