45, 46 and 47

9 45 Use the following data to determine the total amount of working capital Koonce Office Supplies Balance Sheet December 31 Cash $ 130,000 Accounts receivable Accounts payable $ 140,000 100,000 Salaries and wages payable 20,000 Inventory 110,000 Mortgage payable 160.000 Prepaid Insurance 60,000 Total liabilities $320.000 Stock investments 170,000 Land 180,000 Buildings 5210,000 Common stock $240,000 Less: Accumulated Retained earnings 500.000 depreciation (40.000) $740.000 170,000 Total stockholders' equity Trademarks 140.000 Total liabilities and Total assets $1.000.000 $1.060.000 stockholders' equity a $180,000 b $390,000 c. $130,000 d $240,000 46 During the year, Lowes Company sold equipment with a book value of $90,000 for proceeds of $240,000. The company purchased new equipment for $109,000 by signing a long-term note payable. No other transactions impacted long-term asset accounts during the year. The investing section of the statement of cash flows will report a. net cash outflows of $349.000 b. net cash outflows of $109,000 c.net cash inflows of $131,000, d.net cash inflows of $240,000 . 47 Thompson Corporation's unadjusted trial balance includes the following balances (assume normal balances): Accounts receivable $1,492,000 Allowance for doubtful accounts $ 28.400 Bad debts are estimated to be 6% of outstanding receivables. After adjusting for bad debt expense, what will be the balance in Allowance for doubtful accounts? a. $89,520 b. $61,120 C. $59,416 d. $91,224