A partially completed balance sheet for Blue Co., Inc., as of January 31, 2011, follows. Where amounts are shown for various items, the amounts are correct.

Required:
Using the following data, complete the balance sheet.
a. Blue Co.'s records show that current and former customers owe the firm a total of $4,000; $600 of this amount has been due for more than a year from two customers who are now bankrupt.
b. The automobile, which is still being used in the business, cost $18,000 new; a used car dealer's Blue Book shows that it is now worth $10,000. Management estimates that the car has been used for one-third of its total potential use.
c. The land cost Blue Co. $11,000; it was recently assessed for real estate tax purposes at a value of $15,000.
d. Blue Co.'s president isn't sure of the amount of the note payable, but he does know that he signed a note.
e. Since Blue Co. was formed, net income has totaled $33,000, and dividends to stockholders have totaled$19,500.

Transcribed Image Text:

Assets Cash Accounts recaivable... Land.. Automobile.... Liabilities and Owners' Equity Note payablo Accounts payable.... $ 700 3,400 Total liabilitios.$ Owners' equity Less: Accumulated depreciation. _Common Total owners' equity.... Total liabilitiesowners equityS