Question
End-of-year current assets for two different companies follow. One is a manufacturer, Rayzer Skis Manufacturing, and the other, Sunrise Foods, is a merchandiser. Account Company
End-of-year current assets for two different companies follow. One is a manufacturer, Rayzer Skis Manufacturing, and the other, Sunrise Foods, is a merchandiser.
| Account | Company 1 | Company 2 |
| Cash | $ 11,000 | $ 9,000 |
| Merchandise inventory | 41,500 | |
| Raw materials inventory | 38,500 | |
| Work in process inventory | 28,000 | |
| Finished goods inventory | 48,000 | |
| Accounts receivable, net | 70,000 | 67,000 |
| Prepaid expenses | 5,000 | 1,000 |
1. Identify which set of numbers relates to the manufacturer and which to the merchandiser. 2a. & 2b. Prepare the current asset section of the balance sheet at December 31 for each company.
| Current Assets Section of Balance Sheet | |
| December 31 | |
| Total current assets | $0 |
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Cost Estimating
Authors: Rodney D. Stewart
2nd Edition
0471857076, 978-0471857075
