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Can you tell me how to prepare the balance sheet from the following accounts? Note: For cash, use A = L+E 5% cumulative preferred stock,
Can you tell me how to prepare the balance sheet from the following accounts?
Note:
- For cash, use A = L+E
- 5% cumulative preferred stock, $50 par value, 4,000 shares issued and outstanding, preferred dividend is cumulative. No preferred stock was issued during 2019.
- Preferred dividend has been paid until 2017. No preferred dividend has been paid in 2018.
- All the common stock has $2 par value.
- 100,000 shares issued and zero treasury stock on 1/1/2019.
- 50,000 shares are issued on 4/1/2019 for $750,000.
- 4,000 shares are repurchased on 12/1/2019, the company paid $50,000 and it uses cost method for treasury method accounting.
- Assume the total effective tax rate on all items is 20%.
B. Make sure to show work clearly for ending balance of the following account.
B1. Cash
B2. Preferred stock
B3. Common stock
B4. Paid in capital of in excess of par - Common stock
B5. retained earnings, treasury
B6. Accumulated other comprehensive income.
C. Prepare classified balance sheet as of 12/31/2019.
Account Debit Credit Cash 2 2 Interest expense 6,000 25,000 3 4 35,000 Oo oon N 150,000 3,000 1,500,000 9.500 1.200 5,000 30,000 15,000 515,000 153,000 3,010,000 632,000 Impairment of goodwill Accumulated depreciation-building & equipment Accounts receivable 6 Interest revenue 7 Bonds payable Tax Payable 9 Unearned Sales revenue 10 Allowance for doubtful accounts 11 Copyrights 12 Unrealized holding gains on trading securities 13 Debt Investments (trading securities) 14 Sales returns and allowances 15 Sales revenue 16 Cost of goods sold 17 Land 18 Building and Equipment 19 Available-for-sale securities (current) 20 Selling & General Admin expenses 21 Unrealized holding losses on available-for-sale securities 22 Goodwill 23 Accounts payable 24 Work in Process 25 Supplies 26 Loss on discontinued operations, after tax 27 Premium on bonds payable 28 Dividend payable 29 Unrealized gain on cash flow hedge 30 Prepaid Other Operating Expense 31 Dividend declared 50,000 340,000 155,000 200,800 11,000 450,000 192,000 10,000 15,000 14,000 2,000 17,000 12,000 25,000 24,000 Debit Credit 150,000 35,000 Account 32 Finished goods Inventory 33 Accumulated other comprehensive income, beginning balance 34 Treasury, beginning balance 35 Preferred stock, par value $50 per share, beginning balance 36 Common stock, par value $2 per share, beginning balance 37 Paid in capital in excess of par, beginning balance 38 Retained eamings, beginning balance 200,000 200,000 800,000 15,000Step by Step Solution
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