Question
Greetings. I am stuck on this Accounting question. Thank you to anyone who can help out. A partially completed balance sheet for Blue Co., Inc.,
Greetings. I am stuck on this Accounting question. Thank you to anyone who can help out.
A partially completed balance sheet for Blue Co., Inc., as of October 31, 2016, follows. Where amounts are shown for various items, the amounts are correct.
Required:
Using the following data, complete the balance sheet.
Blue Co.'s records show that current and former customers owe the firm a total of $4,100; $670 of this amount has been due for more than a year from two customers who are now bankrupt.
The automobile, which is still being used in the business, cost $15,600 new; a used car dealer's Blue Book shows that it is now worth $10,000. Management estimates that the car has been used for one-third of its total potential use. (The car is being depreciated using the straight-line method.)
The land cost Blue Co. $13,000; it was recently assessed for real estate tax purposes at a value of $17,000 .
Blue Co.'s president isn't sure of the amount of the note payable, but he does know that he signed a note.
Since Blue Co. was formed, net income has totaled $32,000, and dividends to stockholders have totaled $22,500.
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