Question
oncord Corp. has decided to expand its operations. The bookkeeper recently completed the following statement of financial position in order to obtain additional funds for
oncord Corp. has decided to expand its operations. The bookkeeper recently completed the following statement of financial position in order to obtain additional funds for expansion:
CONCORD CORP. Statement of Financial Position For the Year Ended December 31, 2020 | |||||
---|---|---|---|---|---|
Current assets | |||||
Cash (net of bank overdraft of $31,000) | $ | 460,000 | |||
Accounts receivable (net) | 442,000 | ||||
Inventory at the lower of cost and net realizable value | 581,000 | ||||
FV-NI investments (at costfair value $300,000) | 290,000 | ||||
Property, plant, and equipment | |||||
Buildings (net) | 670,000 | ||||
Equipment (net) | 240,000 | ||||
Land held for future use | 245,000 | ||||
Intangible assets | |||||
Goodwill | 84,000 | ||||
Investment in bonds to collect cash flows, at amortized cost | 107,000 | ||||
Prepaid expenses | 27,000 | ||||
Current liabilities | |||||
Accounts payable | 305,000 | ||||
Notes payable (due next year) | 225,000 | ||||
Pension obligation | 101,000 | ||||
Rent payable | 56,000 | ||||
Long-term liabilities | |||||
Bonds payable | 626,000 | ||||
Shareholders equity | |||||
Common shares, unlimited authorized, 310,000 issued | 310,000 | ||||
Contributed surplus | 350,000 | ||||
Retained earnings | ? |
(a) Prepare a revised statement of financial position using the available information. Assume that the bank overdraft relates to a bank account held at a different bank from the account with the cash balance. Assume that the accumulated depreciation balance for the buildings is $330,000 and that the accumulated depreciation balance for the equipment is $205,000. The allowance for doubtful accounts has a balance of $23,000. The pension obligation is considered a long-term liability. (List Current Assets in order of liquidity. List Property, Plant and Equipment in order of Land, Buildings and Equipment.)
$enter a dollar amount |
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