The balance sheet of Kishwaukee Corporation as of December 31, 2025, is as follows. Note 1: Buildings

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The balance sheet of Kishwaukee Corporation as of December 31, 2025, is as follows.image



Note 1: Buildings are stated at cost, except for one building that was recorded at appraised value. The excess of appraisal value over cost was $570,000. Depreciation has been recorded based on cost.


Note 2: Goodwill in the amount of $120,000 was recognized because the company believed that book value was not an accurate representation of the fair value of the company. The gain of $120,000 was credited to Retained Earnings.


Note 3: Notes payable are long-term except for the current installment due of $100,000.



Instructions


Prepare a corrected classified balance sheet in good form. The notes above are for information only.

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Related Book For  book-img-for-question

Intermediate Accounting

ISBN: 9781119790976

18th Edition

Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield

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