Jones Enterprises was started when it acquired $4,800 cash from creditors and $7,200 from owners. The company immediately purchased land that cost $10,000. Record the events under an accounting equation. After all events have been recorded, Jones’s obligations to creditors represent what percent of total assets?

Principles of Accounting Volume 1
19th Edition
ISBN:9781947172685
Author:OpenStax
Publisher:OpenStax
Chapter3: Analyzing And Recording Transactions
Section: Chapter Questions
Problem 15EB: Discuss how each of the following transactions will affect assets, liabilities, and stockholders...
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Jones Enterprises was started when it acquired $4,800 cash from creditors and $7,200 from owners. The company immediately purchased land that cost $10,000.

  1. Record the events under an accounting equation.

  2. After all events have been recorded, Jones’s obligations to creditors represent what percent of total assets?

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