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Financial Forensics · Quiz 1 · 26 Oct 2025 · September 2025 term

Question 23: What is the Liability of the company as 31^(st), Decembe…

Question 23

+1 markNumerical answer

Answer the given subquestions based on the information below:
Fulton Company was established at the beginning of 2024 when several investors paid a total of $200,000 to purchase Fulton common stock. No additional investments in common stock were made during the year. By December 31, 2024, Fulton had cash on hand of $45,000, office equipment of $40,000, inventory of $156,000, and accounts payable of $10,000. Sales for the year were $812,000. Of this amount, customers still owed $20,000. Fulton declared and paid dividends of $25,000 to its stockholders during 2024.

What is the Liability of the company as 31^(st), December 2024 (in $)?

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Correct answer: 10000

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Question 23 of 25 in the IIT Madras BS Financial Forensics (Financial Forensics) Quiz 1 paper sat on 26 Oct 2025, in the September 2025 term (IIT M DEGREE AN EXAM QDB2 26 Oct 2025). It carries 1 mark.

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