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I need help on finding what the cash balance is for this part. Everything else is correct except for that one. Required information [The following
I need help on finding what the cash balance is for this part. Everything else is correct except for that one.
Required information [The following information applies to the questions displayed below) The following transactions apply to Ozark Sales for Year 1: 1. The business was started when the company received $49,500 from the issue of common stock 2. Purchased equipment Inventory of $174,500 on account 3. Sold equipment for $200,000 cash (not including sales tax). Sales tax of 7 percent is collected when the merchandise is sold. The merchandise had a cost of $125,000 4. Provided a six-month warranty on the equipment sold. Based on industry estimates, the warranty claims would amount to 4 percent of sales. 5. Paid the sales tax to the state agency on $150,000 of the sales 6. On September 1, Year 1, borrowed $21,500 from the local bank. The note had a 6 percent Interest rate and matured on March 1, Year 2 7. Paid $5,500 for warranty repairs during the year, 8. Paid operating expenses of $55,500 for the year 9. Paid $125,500 of accounts payable 10. Recorded accrued interest on the note issued in transaction no. 6. UZAR SALES Balance Sheet As of December 31, Year 1 Assets $ 14,000 X Cash Merchandise inventory 49,500 Total assets 63,500 Liabilities $ 49,000 3,500 Accounts payable Sales tax payable Warranty payable Interest payable Notes payable 2,500 430 21,500 76,930 Total liabilities Stockholders' equity Common stock Retained earnings $ 49,500 11,070 Total stockholders' equity Total liabilities and stockholders' equity 60,570 $ 137,500 Step by Step Solution
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