13) Alpaca Corporation had revenues of $240,000 in its first year of operations. The company has not collected on $18,700 of its sales and still owes $26,800 on $95,000 of merchandise it purchased. The company had no inventory on hand at the end of the year. The company paid $12,500 in salaries. Owners invested $13,000 in the business and $13,000 was borrowed on a five-year note. The company paid $3,700 in interest that was the amount owed for the year, and paid $7,700 for a two-year insurance policy on the first day of business. Alpaca has an effective income tax rate of 40%. (Assume taxes are paid in the same year).

Compute the cash balance at the end of the first year for Alpaca Corporation.

14) Land was acquired in 2024 for a future building site at a cost of $40,500. The assessed valuation for tax purposes is $27,400, a qualified appraiser placed its value at $48,600, and a recent firm offer for the land was for a cash payment of $45,500. The land should be reported in the financial statements at: