At The End Of The Year, The Company Has Owners' Equity Of $100,000 And Liabilities Of $75,000.
Firstly, we find Assets at the end, then we know about how much the assets change at the year’s end.
We know Accounting Equation:
Assets = Liabilities + Owners’ Equity
Assets = $75000 + $10000
Assets = $175000 Increase
Now, How Much Change In Assets At The End Of The Accounting Period:
Assets at the End = $175000
Assets at the Beginning = ($150000)
Change In Assets = $25000
So, assets increased from $150000 to $175000 with an increase in Assets is $25000 at the end of accounting period.
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