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PLG Plumbing and Heating reported the following assets and liabilities for the period ended 2022. What is the total equity for the period? £67,300 £32,500 E67,600 £10,300 £1,500 £38,800 E6,300 E28,500

Question

PLG Plumbing and Heating reported the following assets and liabilities for the period ended
2022.
What is the total equity for the period?
£67,300
£32,500
E67,600
£10,300
£1,500
£38,800
E6,300
E28,500

PLG Plumbing and Heating reported the following assets and liabilities for the period ended 2022. What is the total equity for the period? £67,300 £32,500 E67,600 £10,300 £1,500 £38,800 E6,300 E28,500

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NelsonProfessional · Tutor for 6 years

Answer

\( £ 10,300 \)

Explain

## Step 1: From the table, we can add up all the assets and the liabilities to get the total assets and total liabilities, respectively. <br />\( Total \, Assets = Current \, Assets + Non-current \, Assets = £ 6,300 + £ 32,500 = £ 38,800 \)<br />\( Total \, Liabilities = Current \, Liabilities + Non-current \, Liabilities = £ 5,400 + £ 23,100 = £ 28,500 \)<br /><br />## Step 2: Next, using the accounting equation, we know:<br /> ** ### \( Equity = Total \, Assets - Total \, Liabilities \)**<br />Substitute the values we have:<br />\( Equity = £ 38,800 (Total \, Assets) - £ 28,500 (Total \, Liabilities) = £ 10,300 \)
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