Answered: Which of the following is correct?(i)…

Which of the following is correct?(i) Liabilities = Assets + Capital(ii) Assets = Liabilities – Capital(iii) Capital = Assets – Liabilities(iv) Capital = Assets + Liabilities.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

Which of the following is correct?
(i) Liabilities = Assets + Capital
(ii) Assets = Liabilities – Capital
(iii) Capital = Assets – Liabilities
(iv) Capital = Assets + Liabilities.

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