a. b. c. d. e. Higgins has $12,000 in his personal bank account and $46,000 in the business bank account. Higgins owes $5,400 on a personal charge account at a local department store. Higgins acquired business furniture for $25,000 on July 24. Of this amount, the business owes $5,000 on accounts payable at July 31. Office supplies on hand at the real estate office total $5,000. Higgins's business owes $123,000 on a note payable for some land acquired for a total price of $175,000. Higgins's business spent $18,000 for a Realty Know - How franchise, which entitles him to represent himself as an agent. Realty Know - How is a national affiliation of independent real estate agents. This franchise is a business asset. Higgins owes $180,000 on a personal mortgage on his personal residence, which he acquired in 2014 for a total price of $416,000. f. g. Requirements 1. Prepare the balance sheet of the real estate business of Caden Higgins Realtor, Inc., at July 31, 2019. 2. Does it appear that the realty business can pay its debts? How can you tell? 3. Identify the personal items given in the preceding facts that should not be reported on the balance sheet of the business. Print Done Caden Higgins is a realtor. He organized his business as a corporation on July 16, 2019. The business received $45,000 cash from Higgins and issued common stock. Consider the following facts as of July 31, 2019. i (Click the icon to view the facts.) Read the requirements. Requirement 1. Prepare the balance sheet of the real estate business of Caden Higgins Realtor, Inc., at July 31, 2019. (Do not classify the balance sheet into current and long-term sections. In the first part complete the assets section of the balance sheet. In the second part complete the liabilities and stockholders' equity section of the balance sheet. If a box is not used in the balance sheet leave the box empty; do not select a label or enter a zero.) Assets Liabilities Stockholders' Equity Total assets Total liabilities and stockholders' equity Requirement 2. Does it appear that the realty business can pay its debts? How can you tell? The business pay its debt, as assets are liabilities. Requirement 3. Identify the personal items given in the preceding facts that should not be reported on the balance sheet of the business. (If a box is not used in the table leave the box empty; do not select a label or enter a zero.) Personal financial information of Caden Higgins a. b. c. d. e. Higgins has $12,000 in his personal bank account and $46,000 in the business bank account. Higgins owes $5,400 on a personal charge account at a local department store. Higgins acquired business furniture for $25,000 on July 24. Of this amount, the business owes $5,000 on accounts payable at July 31. Office supplies on hand at the real estate office total $5,000. Higgins's business owes $123,000 on a note payable for some land acquired for a total price of $175,000. Higgins's business spent $18,000 for a Realty Know - How franchise, which entitles him to represent himself as an agent. Realty Know - How is a national affiliation of independent real estate agents. This franchise is a business asset. Higgins owes $180,000 on a personal mortgage on his personal residence, which he acquired in 2014 for a total price of $416,000. f. g. Requirements 1. Prepare the balance sheet of the real estate business of Caden Higgins Realtor, Inc., at July 31, 2019. 2. Does it appear that the realty business can pay its debts? How can you tell? 3. Identify the personal items given in the preceding facts that should not be reported on the balance sheet of the business. Print Done Caden Higgins is a realtor. He organized his business as a corporation on July 16, 2019. The business received $45,000 cash from Higgins and issued common stock. Consider the following facts as of July 31, 2019. i (Click the icon to view the facts.) Read the requirements. Requirement 1. Prepare the balance sheet of the real estate business of Caden Higgins Realtor, Inc., at July 31, 2019. (Do not classify the balance sheet into current and long-term sections. In the first part complete the assets section of the balance sheet. In the second part complete the liabilities and stockholders' equity section of the balance sheet. If a box is not used in the balance sheet leave the box empty; do not select a label or enter a zero.) Assets Liabilities Stockholders' Equity Total assets Total liabilities and stockholders' equity Requirement 2. Does it appear that the realty business can pay its debts? How can you tell? The business pay its debt, as assets are liabilities. Requirement 3. Identify the personal items given in the preceding facts that should not be reported on the balance sheet of the business. (If a box is not used in the table leave the box empty; do not select a label or enter a zero.) Personal financial information of Caden Higgins
