To determine the owner's equity at the end of the accounting period, we use the fundamental accounting equation:
[tex]\[
\text{Owner's Equity} = \text{Total Assets} - \text{Total Liabilities}
\][/tex]
Given the values:
- Total assets: \[tex]$386,750
- Total liabilities: \$[/tex]98,500
We substitute these values into the equation:
[tex]\[
\text{Owner's Equity} = \$386,750 - \$98,500
\][/tex]
Performing this subtraction:
[tex]\[
\text{Owner's Equity} = \$288,250
\][/tex]
Thus, the owner's equity at the end of the accounting period is \$288,250.
