Question
Prepare the investment section of a classified balance sheet given the following account balances on December 31, 2020. Bond sinking fund $300,000 Debt investments (expected
Prepare the investment section of a classified balance sheet given the following account balances on December 31, 2020.
| Bond sinking fund | $300,000 |
| Debt investments (expected to be held to maturity in 2025) | 135,000 |
| Land (in use) | 120,000 |
| Land held for speculation | 75,000 |
| Prepaid insurance (for January 2021 coverage paid in advance) | 15,000 |
Note Enter investments in the order of the largest dollar amount to the smallest dollar amount.
| Investment Section As of December 31, 2020 | |
|---|---|
| Answer Bond sinking fund/Debt investments and (in use)/Land held for speculation/Prepaid insurance | Answer |
| Answer Bond sinking fund/Debt investments and (in use)/Land held for speculation/Prepaid insurance | Answer |
| Answer Bond sinking fund/Debt investmentsLand (in use)/Land held for speculation/Prepaid insurance | Answer |
| Total investments | Answer |
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Intermediate Accounting
Authors: Loren A Nikolai, D. Bazley and Jefferson P. Jones
10th Edition
324300980, 978-0324300987
