Question

Assets are $270,000, and owner's equity is $90,000. Liabilities will be __________.

Answer 1

To find the liabilities, you can use the basic accounting equation:

Assets = Liabilities + Owner's Equity

Rearranging the equation to solve for liabilities gives us:

Liabilities = Assets - Owner's Equity

Substituting the values you provided:

Liabilities = $270,000 - $90,000
Liabilities = $180,000

So, liabilities will be **$180,000**.