To solve for liabilities you have to have assets and owners equity. If you are given these two balances, then to find liabilities remember the accounting equation.
Assets = Liabilities + Owners Equity (Stockholders Equity)
Rearrange the equation to find
Assets - Owners Equity = Liabilities
For example if you have
Assets 500 = Liabilities X = Owners Equity $300
Assets $500 - OE $300 = Liab. $200
The equation original form would look like this.
$500 = $200 + $300
If you are not given at least two balances, there is really no way to figure the Liabilities.
Copyright © 2026 eLLeNow.com All Rights Reserved.