Accounting Equation Exercise
by Trina Brown
Lynn Shackelford is the owner and operator of Galaxy LLC, a motivational consulting business. At the end of its accounting period, December 31, 2011, Galaxy has assets of $823,000 and liabilities of $198,000.
Using the accounting equation, determine the following amounts:
Owner's equity, as of December 31, 2012, assuming that assets increased by $156,000 and liabilities increased by $48,000 during 2012