Question

The accounts in the ledger of Monroe Entertainment Co. are listed below. All accounts have normal balances. Accounts Payable $465 Fees Earned $3,123 Accounts Receivable 858 Insurance Expense 486 Prepaid Insurance 2,148 Land 2,660 Cash 1,964 Wages Expense 780 Dividends 536 Common stock 5,844 Total assets are: a. $7,630 b. $3,123 c. $5,844 d. $3,287

Answer 1

Answer:

a. $7,630

Explanation:

According to the given situation the computation of total assets is shown below:-

Total assets = Accounts receivable + Prepaid insurance + Cash + Land

= $858 + $2,148 + $1,964 + $2,660

= $7,630

Therefore for computing the total assets we simply applied the above formula and ignore all other values as they are not relevant.