Question

Handyman Services has total assets for the year of $14, 700 and total liabilities of $9,400.

Requirements
1.Use the accounting equation to solve for equity.

Answer 1

The equity of Handyman Services is $5,300.

Step-by-step explanation:

The accounting equation is Assets = Liabilities + Equity. We can rearrange this equation to solve for equity: Equity = Assets - Liabilities. In the case of Handyman Services, the total assets are $14,700 and the total liabilities are $9,400. Plugging these values into the equation, we get:

Equity = $14,700 - $9,400 = $5,300

Therefore, the equity of Handyman Services is $5,300.