Fundamental Accounting Equation Video Lessons

Concept

# Problem: 1/1/12 – Total assets = $150,000. 12/31/12 – Total assets =$200,000; 1/1/12 – Total Stockholders’ Equity = $100,000. 12/31/12 – Total Stockholders’ Equity =$125,000. Amount of change and direction for liabilities at 12/31/12? a. Decrease of $30,000 b. Decrease of 15,000 c. Increase of$25,000 d. Increase of $15,000 ###### FREE Expert Solution ###### Problem Details 1/1/12 – Total assets =$150,000. 12/31/12 – Total assets = $200,000; 1/1/12 – Total Stockholders’ Equity =$100,000. 12/31/12 – Total Stockholders’ Equity = $125,000. Amount of change and direction for liabilities at 12/31/12? a. Decrease of$30,000

b. Decrease of 15,000

c. Increase of $25,000 d. Increase of$15,000

Frequently Asked Questions

What scientific concept do you need to know in order to solve this problem?

Our tutors have indicated that to solve this problem you will need to apply the Fundamental Accounting Equation concept. You can view video lessons to learn Fundamental Accounting Equation. Or if you need more Fundamental Accounting Equation practice, you can also practice Fundamental Accounting Equation practice problems.

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Our tutors rated the difficulty of1/1/12 – Total assets = \$150,000. 12/31/12 – Total assets = ...as medium difficulty.