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0 pointskevmarsden3y ago0 comments

To be a bit more specific: Assets = Liabilities + Equity

0 comments

Right. Was going to comment the same. If you sell a product for $100 that only cost you $90 to produce, that $10 isn't a 'liability', it's profit / retained earnings (an equity account).

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0 pointskevmarsden3y ago0 comments

To be a bit more specific: Assets = Liabilities + Equity

0 comments

mikeyouse3y ago

Right. Was going to comment the same. If you sell a product for $100 that only cost you $90 to produce, that $10 isn't a 'liability', it's profit / retained earnings (an equity account).

j / k navigate · click thread line to collapse