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Balance Sheet Preparation Consider GHI Enterprises with the following assets: Cash $90,000, Accounts Receivable $60,000, Inventory $50,000, and Property, Plant, and Equipment $350,000. Liabilities include


  1. Balance Sheet Preparation

Consider GHI Enterprises with the following assets: Cash $90,000, Accounts Receivable $60,000, Inventory $50,000, and Property, Plant, and Equipment $350,000. Liabilities include Accounts Payable $70,000 and Long-Term Debt $300,000. Prepare a balance sheet for GHI Enterprises, detailing assets, liabilities, and owner's equity.

GHI Enterprises' balance sheet is prepared as follows: Assets:

  • Cash: $90,000
  • Accounts Receivable: $60,000
  • Inventory: $50,000
  • Property, Plant, and Equipment: $350,000

Total Assets: $550,000

Liabilities:

  • Accounts Payable: $70,000
  • Long-Term Debt: $300,000

Total Liabilities: $370,000

Owner's Equity:

  • Total Assets - Total Liabilities
  • $550,000 - $370,000

Owner's Equity: $180,000

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