Respuesta :
On May 31 of the current year, the assets and liabilities of the riser, inc. are as follows: cash $18,300; accounts receivable, $7,150; supplies, $500; equipment, $11,900; accounts payable, $9,150. The amount of equity as of May 31 of the current year is $28,700.
Equity is the ownership of assets with potential debts or other responsibilities. For accounting reasons, equity is calculated by deducting liabilities from the value of the assets. Because the value of an investor's investment in a firm is represented by the percentage of its shares, equity is significant.
Any resource that a company or other economic body owns or controls is considered an asset. Anything that has the potential to provide positive economic value qualifies. The ownership value that can be turned into cash is represented by assets.
Assets = Liabilities + Stockholders' Equity
Accounts Payable + Stockholders' Equity = Cash + Accounts Receivable + Supplies + Equipment
$18,300+ $7,150 + $500 +$11,900 = $9,150 + Stockholders' Equity
$37,850 = $9,150 + Stockholders' Equity
Entire assets minus total liabilities equals equity.
Stockholders' Equity =$37,850 - $9,150
Stockholders' Equity = $28,700
To know more about Equity refer to: https://brainly.com/question/13278063
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