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Balance Sheet from Adjusted Trial Balance The following is the alphabetical adjusted trial balance of the Meadows Company on December 31, 2016: Debits Credits Accounts
Balance Sheet from Adjusted Trial Balance
The following is the alphabetical adjusted trial balance of the Meadows Company on December 31, 2016:
Debits | Credits | ||
Accounts Payable | $ 9,800 | ||
Accounts Receivable | $ 19,000 | ||
Accrued Payables | 7,100 | ||
Accumulated Depreciation | 44,000 | ||
Additional Paid-in Capital | 50,600 | ||
Cash | 7,900 | ||
Common Stock, $5 par | 29,600 | ||
Cost of Goods Sold | 179,500 | ||
Current Portion of Long-Term Debt | 6,200 | ||
Deferred Taxes Payable | 12,500 | ||
Dividends Distributed | 7,000 | ||
General Expenses | 27,560 | ||
Income Tax Expense | 12,340 | ||
Income Taxes Payable | 7,500 | ||
Interest Expense | 4,300 | ||
Inventories | 32,000 | ||
Investment in Held-to-Maturity Bonds | 36,000 | ||
Long-Term Debt | 56,600 | ||
Long-Term Receivables | 38,600 | ||
Marketable Securities (short-term) | 10,200 | ||
Patents (net) | 13,000 | ||
Prepaid Insurance | 5,000 | ||
Property, Plant, and Equipment | 148,000 | ||
Retained Earnings, 1/1/16 | 69,000 | ||
Sales | 270,000 | ||
Selling Expenses | 21,500 | ||
Unrealized Decrease in Value of Available-for-Sale Securities | 1,000 | ||
$562,900 | $562,900 |
Required:
1. Prepare Meadows's December 31, 2016, balance sheet.
Meadows Company | |||
Balance Sheet | |||
December 31, 2016 | |||
Assets | |||
Current Assets: | |||
Cash | $ | ||
Marketable securities (short-term) | |||
Accounts receivable | |||
Inventories | |||
Prepaid insurance | |||
Total current assets | $ | ||
Long-Term Investments: | |||
Investment in held-to-maturity bonds | $ | ||
Long-term receivables | |||
Property, Plant, and Equipment: | |||
Property, plant, and equipment | $ | ||
Less: Accumulated depreciation | |||
Intangible Assets: | |||
Patents (net) | |||
Total Assets | $ | ||
Liabilities | |||
Current Liabilities: | |||
Accounts payable | $ | ||
Accrued payables | |||
Income taxes payable | |||
Current portion of long-term debt | |||
Total current liabilities | $ | ||
Long-Term Liabilities: | |||
Long-term debt | |||
Other Liabilities: | |||
Deferred taxes payable | |||
Total Liabilities | |||
Shareholders' Equity | |||
Contributed Capital: | |||
Common stock, $5 par | $ | ||
Additional paid-in capital | |||
Total contributed capital | $ | ||
Retained earnings | |||
Accumulated Other Comprehensive Loss: | |||
Unrealized decrease in value of available-for-sale securities | |||
Total shareholders' equity | $ | ||
Total liabilities and shareholders' equity | $ |
Feedback
2. Compute the debt-to-assets ratio.
Round your answer to two decimal places.
%
What does it indicate about Meadows at the end of 2016?
This ratio reveals that only ??????? % of Meadowss assets have been financed with debt.
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