Question 1:

The current asset section of XYZ Company's balance sheet consists of cash, accounts receivable, and inventory. The December 31, 2024 balance sheet revealed the following: Inventory ........................ $110,000 Current ratio .................... 2.40 Acid-test ratio .................. 1.60 Calculate the (total current assets) reported by XYZ Company at December 31, 2024.

 Data FOr Question 2,3: Morrow Company's December 31, 2026 unadjusted trial balance reported the following accounts: Accounts payable ............ $43,000 Accounts receivable ......... $72,000 Advertising expense ......... $21,000 Bonds payable ............... $85,000 Building .................... $67,000 Cash ........................ $18,000 Common stock ................ $45,000 Cost of goods sold .......... $41,000 Income tax expense .......... $15,000 Interest revenue ............ $33,000 Inventory ................... $54,000 Loss on sale of land ........ $13,000 Retained earnings ........... $39,000 (at January 1, 2026) Sales revenue ............... $91,000 Trademark ................... $57,000 Unearned revenue ............ $48,000 Wage expense ................ $26,000 Morrow Company has not yet recorded adjusting entries related to the following two items: 1) Morrow Company received a $7,000 utility bill on December 31, 2026 for utility usage in 2026. However, Morrow Company will not pay the bill until January, 2027. 2) The unearned revenue listed above relates to a $48,000 payment from a customer that Morrow received on June 1, 2026. The payment was for work to be performed each month for the next 20 months, beginning in June, 2026. Question 2: Calculate the amount of net income that Morrow Company would report in its 2026 income statement after the appropriate adjusting entries have been recorded and posted.

Question 3:

Calculate the total liabilities reported in Morrow Company's balance sheet at December 31, 2026 after the appropriate adjusting entries have been recorded and posted.