Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Hello, I need help completing this table. I filled out the liabilities and stockholder's equity part. But I need help on filling the assets table.

Hello, I need help completing this table. I filled out the liabilities and stockholder's equity part. But I need help on filling the assets table. Thank you.

[The following information applies to the questions displayed below.]

Exquisite Jewelers is developing its annual financial statements for current year. The following amounts were correct at December 31, current year: cash, $58,000; accounts receivable, $71,000; merchandise inventory, $154,000; prepaid insurance, $1,500; investment in stock of Z Corporation (long-term), $36,000; store equipment, $67,000; used store equipment held for disposal, $9,000; accumulated depreciation, store equipment, $19,000; accounts payable, $52,500; long-term note payable, $42,000; income taxes payable, $9,000; retained earnings, $164,000; and common stock, 100,000 shares outstanding, par value $1.00 per share (originally sold and issued at $1.10 per share).

EXQUISITE JEWELERS Balance Sheet At December 31, Current Year Assets Current assets Cash $58,000 Accounts receivable 71,000 Prepaid insurance 1,500 Merchandise inventory 154,000 Total current assets $284,500 Investment in Z Corporation 36,000 Store equipment 67,000 Accumulated depreciation 19,000 Used store equipment held for disposal 9,000 Total assets 95,000 $415,500 Liabilities Current liabilities Accounts payable $52,500 Income taxes payable 9,000 Total current liabilities $61,500 Note payable 42,000 Total liabilities 103,500 Stockholders' Equity Contributed capital Common stock 100,000 Additional paid-in capital 10,000 Total contributed capital 110,000 Retained earnings 164,000 Total stockholders' equity 274,000 Total liabilities and stockholders' equity $377,500

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

Step: 3

blur-text-image

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

Auditing Derivative Strategies

Authors: Barbara Davison

1st Edition

0894134434, 978-0894134432

More Books

Students also viewed these Accounting questions