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Athletic Performance Company (APC) was incorporated as a private company. The companys accounts included the following at July 1: Accounts Payable $ 6,150 Buildings 214,000
Athletic Performance Company (APC) was incorporated as a private company. The companys accounts included the following at July 1:
Accounts Payable | $ 6,150 |
---|---|
Buildings | 214,000 |
Cash | 10,850 |
Common Stock | 321,000 |
Equipment | 25,000 |
Land | 87,000 |
Notes Payable (long-term) | 17,500 |
Retained Earnings | 0 |
Supplies | 7,800 |
During the month of July, the company had the following activities:
- Issued 2,200 shares of common stock for $220,000 cash.
- Borrowed $40,250 cash from a local bank, payable in two years.
- Bought a building for $187,000; paid $52,000 in cash and signed a three-year note for the balance.
- Paid cash for equipment that cost $182,000.
- Purchased supplies for $15,500 on account.
- Prepare a classified balance sheet at July 31. Include Retained Earnings on the balance sheet even though the account has a zero balance.
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