Assets Minus Liabilities
Equals Equity?


(Ventura, California)

Q: Why do they not say assets minus liabilities = equity?


A:
They do. Well, some teachers, professors, lecturers do.

Actually that is the definition of owner's equity too. See this page for more explanation of equity and the accounting equation.

Click here to post comments

Return to Ask a Question About This Lesson!.











© Copyright 2009-2018 Michael Celender. All Rights Reserved. 
Click here for Privacy Policy.