Question

Determine the missing amount for each of the following:

Item Assets = Liabilities + Stockholders' Equity
a. $fill in the blank 1
= $1,200,000 + $875,000
b. $3,860,000 = $fill in the blank 2
+ $900,000
c. $71,850,000 = $59,100,000 + $fill in the blank 3

Answer 1

To determine the missing amounts for each of the given items using the accounting equation (Assets = Liabilities + Stockholders' Equity), we'll solve for the blanks step by step.

### a.
We are given:
- Assets = ?
- Liabilities = $1,200,000
- Stockholders' Equity = $875,000

Using the equation:
\[
\text{Assets} = \text{Liabilities} + \text{Stockholders' Equity}
\]

Substituting the values:
\[
\text{Assets} = 1,200,000 + 875,000
\]
\[
\text{Assets} = 2,075,000
\]

So, **fill in the blank 1**: **$2,075,000**

### b.
We are given:
- Assets = $3,860,000
- Liabilities = ?
- Stockholders' Equity = $900,000

Using the equation:
\[
\text{Assets} = \text{Liabilities} + \text{Stockholders' Equity}
\]

Substituting the values:
\[
3,860,000 = \text{Liabilities} + 900,000
\]

To find Liabilities, we rearrange the equation:
\[
\text{Liabilities} = 3,860,000 - 900,000
\]
\[
\text{Liabilities} = 2,960,000
\]

So, **fill in the blank 2**: **$2,960,000**

### c.
We are given:
- Assets = $71,850,000
- Liabilities = $59,100,000
- Stockholders' Equity = ?

Using the equation:
\[
\text{Assets} = \text{Liabilities} + \text{Stockholders' Equity}
\]

Substituting the values:
\[
71,850,000 = 59,100,000 + \text{Stockholders' Equity}
\]

To find Stockholders' Equity, we rearrange the equation:
\[
\text{Stockholders' Equity} = 71,850,000 - 59,100,000
\]
\[
\text{Stockholders' Equity} = 12,750,000
\]

So, **fill in the blank 3**: **$12,750,000**

### Summary of Answers
- a: **$2,075,000**
- b: **$2,960,000**
- c: **$12,750,000**