Fritz evans is the owner and operator of be-the-one, a motivational consulting business. at the end of its accounting period, december 31, 2018, be-the-one has assets of $395,000 and liabilities of $97,000. using the accounting equation, determine the following amounts:
a. owner’s equity as of december 31, 2018.
b. owner’s equity as of december 31, 2019, assuming that assets decreased by $65,000 and liabilities increased by $36,000 during 2019.

Balance of Stockholder's Equity

a. $298,000

b. $197,000

Explanation:

We know general accounting equation is as follows:

Assets = Liabilities + Stockholder's Equity

Provided year end balances,

Assets = $395,000

Liabilities = $97,000

a. Therefore, Stockholder's Equity = $395,000 - $97,000 = $298,000

b. In case assets decrease by $65,000 in 2019 then revised value of assets = $395,000 - $65,000 = $330,000

Increase in liabilities = $36,000, thus balance of liabilities at year end 2019 = $97,000 + $36,000 = $133,000

Therefore, Assets = Liabilities + Stockholder's Equity

$330,000 = $133,000 + Stockholder's Equity

$330,000 - $133,000 = $197,000 = Stockholder's Equity

Balance of Stockholder's Equity

a. $298,000

b. $197,000

i tried to find the answe for you im sorry.

if you use only 25 for your entertainment and only 200 for the groceries that you really need and take out the 50 per month for the computer then that should be enough