Assets, Liabilities & Owner's Equity

What is the accounting equation?

• Assets - Liabilities = Owner's Equity
• Assets = Liabilities + Owner's Equity
• Assets + Liabilities = Owner's Equity
• Assets - Expenses = Liabilities

Assets equals $700,000 and its equity is $400,000. What is the amount of liabilities? 

• $300,000
• $1,100,000
• -$300,000
• -$1,100,000

Total assets equal $500,000. Liabilities and Owner's Equity are equal to each other. How much are each?

• $500,000
• $1,000,000
• $250,000
• $1,500,000

Assets equal $75,000, Equity is $40,000. How much are liabilities?

• $35,000
• $115,000
• $75,000
• $40,000

Which is an example of an asset?

• Accounts Payable
• Owner's Withdrawal
• Revenue
• Cash

What is an example of a liability?

• Accounts Receivable
• Accounts Payable
• Cash
• Owner's Capital

What is NOT an example of an equity account?

• Capital
• Withdrawals
• Revenues
• Accounts Payable

Cash is $7,000; Office Equipment $2,000; Accounts Payable is $5000 and Equity is $4000. What should each side of the accounting equation equal?

• $7,000
• $11,000
• $9,000
• $18,000

What type of account is Land?

• Asset
• Liability
• Equity
• Capital

What type of account is Revenue?

• Asset
• Liability
• Equity
• Expenses