Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Bonus Opportunity ( due 2 / 2 0 ) Part Is Classified balance sheet Use the following post - closing balance information at 1 2

Bonus Opportunity (due 2/20)
Part Is Classified balance sheet
Use the following post-closing balance information at 1231?20 to create a professional balance sheet. All amounts listed in thousands.
\table[[Inventory,250,Deferred tax asset.,150],[Prepaid insurance,35,Accounts payable,40],[Accumulated depreciation,6,000,Bonds pasable (2030 maturity),7,000],[Notereceivable (2022 maturity),40,Equipment,3.000],[Treasury stock,5,Accounts receivable,40],[Premium on bonds parable,100,Preferred stock,500],[\table[[Accumulated other comprehensive],[income (debit balance)]],25,Goodwill,200],[Allowance for doubtfil accounts,3,Discount on notes receivable,4],[\table[[Security FV adjustment - AFS (debit],[balance)]],10,Pension liability,350],[Additional paidsin capital,5,000,Cash and cash equivalents,600],[\table[[Available for sale securities - debt],[(2025 maturity)]],50,Common stock,30],[Factories,15,000,Accrued expenses and payables.,70]]
10% of the bonds will come due 71?21.5% of the premium will expire with their maturity.
10% of the equipment account is no longer used in operations and is being held idle. 5% of the accumulated depreciation is associated with this idle equipment.
5% of the cash and cash equivalents are legally-restricted in accordance with agreements tied to the longterm bonds payable.
Only 70% of the prepaid insurance contract will be used in 2021.
The inventory in the ledger is presented at cost, the net realizable value of the inventory is $190,000.
image text in transcribed

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting A Global Perspective

Authors: Robert Libby, Patricia Libby, Daniel G Short

5th Edition

0071107746, 978-0071107747

More Books

Students also viewed these Accounting questions