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Kimber Co is in the process of liquidating and going out of business. The firm's accountant has provided the following balance sheet and additional information:

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Kimber Co is in the process of liquidating and going out of business. The firm's accountant has provided the following balance sheet and additional information: $15.500 62.000 $12.000 58.000 349.000 $109,500 203,500 39).000 Assets Cash accounts receivable Merchandise inventory Total current assete La Holding equipment LA Mounted depreciation Total land, banding equipment Total Liabilities and stockholders' Equity Accounts payable Notes payable Tot current Habilities Long-term debut Total Tibi Stockholders Equity common stock, no par Betained earning Total stockholders' equity Total ties and stockholders' wuity $48.500 59.00 $102.890 52.800 $260.600 $ 110,000 122.400 232,400 539),000 It is estimated that all but 8 percent of the accounts receivable can be collected, and that the merchandise Inventory can be disposed of in a liquidation sale for 80 percent of its cost. Buildings and equipment can be sold at $40,000 above book value the difference rin nalost and accumulated depreciation shown on the balance sheet), and the land can be sold at its current appraisal Check my work It is estimated that all but 8 percent of the accounts receivable can be collected, and that the merchandise inventory can be disposed of in a liquidation sale for 80 percent of its cost. Buildings and equipment can be sold at $40,000 above book value (the difference between original cost and accumulated depreciation shown on the balance sheet), and the land can be sold at its current oppraisal value of $63.000. In addition to the abilities included in the balance sheet, $2,395 is owed to employees for their work since the last pay period, and interest of $5,010 has accrued on notes payable and long term debt Required: a. Calculate the amount of cash that will be available to the stockholders if the accounts receivable are collected, the other ossets are sold as described, and all liabilities and other claims are paid in full 5 15.500 Total cash available including sale of sots) Accounts receivable Merchandise inventory Buildings Land 0 15,500 Total cash avalable to stockholders $ Total cash available (including sale of assets) Accounts receivable $ 15,500 Accounts payable Accounts receivable Accumulated depreciation Additional paid-in capital Allowance for bad debts 0 15,500 $ Chapter 2 homework PDF American Here 10 It is estimated that all but 8 percent of the accounts receivable can be collected, and that the merchandise inventory can be disposed of in a liquidation sale for 80 percent of its cost. Buildings and equipment can be sold at $40,000 above book value the difference between original cost and accumulated depreciation shown on the balance sheet), and the land can be sold at its current appraisal value of $63.000. In addition to the abilities included in the balance sheet $2,395 is owed to employees for their work since the last pay period, and interest of $5.010 has accrued on notes payable and long-term debit Required: a. Calculate the amount of cash that will be available to the stockholders if the accounts receivable are collected, the other assets are sold as described, and all abilities and other claims are paid in full 15 Dot Thr Total cash available online of Accounts receivable 15.000 APIC-preferred tad debts expense Bonds payable Buildings Capital lease ability $ 15.500 MC Graw HILI A V ? ? MacBook Air * esc 30 3 : 16 10 It is estimated that all but 8 percent of the accounts receivable can be collected, and that the merchandise inventory can be dispos of in a liquidation sale for 80 percent of its cost. Buildings and equipment can be sold at $40,000 above book value the difference between original cost and accumulated depreciation shown on the balance sheet), and the land can be sold at its current appraisal value of $63.000. In addition to the abilities included in the balance sheet 52.395 is owed to employees for their work since the pay period, and interest of $5,010 has accrued on notes payable and long-term debt. Required: a. Calculate the amount of cash that will be available to the stockholders if the accounts receivable are collected, the other assets sold as described, and all liabilities and other claims are paid in full 1.5 points Print rences Total cash available including sale of Accounts receivable $ 15,000 Cash Commissions expense Commissions payable Common stock Cost of goods sold 0 15.500 $ Mc Graw Hill A ? ? MacBook Air Go 888 esc 30 3 Helt 10 It is estimated that all but 8 percent of the accounts receivable can be collected, and that the merchandise inventory can be disposed of in a liquidation sale for 80 percent of its cost Buildings and equipment can be sold at $40.000 above book value the difference between original cost and accumulated depreciation shown on the balance sheet), and the land can be sold at its current appraisal value of $63.000. In addition to the liabilities included in the balance sheet $2.395 is owed to employees for their work since the last pay period, and interest of $5,010 has accrued on notes payable and long-term debt. Required: a. Calculate the amount of cash that will be available to the stockholders if the accounts receivable are collected the other assets are sold as described, and all liabilities and other claims are paid in full, 15 ponts ce Total cash avatate (including of Acous recevable 15.500 Current maturities of long-term debit Deferred income Taxes Deferred tax liabilities Depreciation expense Discount on bonos payable 0 5 15.500 Mc Graw Hill ? ? MacBook Air 90 888 . @ S # % 8

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