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Required information (The following information applies to the questions displayed below.) Jaguar Plastics Company has been operating for three years. At December 31 of last
Required information (The following information applies to the questions displayed below.) Jaguar Plastics Company has been operating for three years. At December 31 of last year, the accounting records reflected the following: Cash Investments (short-term) Accounts receivable Inventory Notes receivable (long-term) Equipment Factory building Intangibles $ 22,000 Accounts payable 2,000 Accrued liabilities payable 3,700 Notes payable (current) 29,000 Notes payable (noncurrent) 1,800 Common stock 40,000 Additional paid-in capital 105,000 Retained earnings 3,800 $ 22,000 2,300 6,200 49,000 9,600 86,400 31,800 During the current year, the company had the following summarized activities: a. Purchased short-term investments for $8,300 cash. b. Lent $5,500 to a supplier who signed a two-year note. c. Purchased equipment that cost $27,000; paid $4,600 cash and signed a one-year note for the balance. d. Hired a new president at the end of the year. The contract was for $87,000 per year plus options to purchase company stock at a set price based on company performance. The new president begins her position on January 1 of next year. e. Issued an additional 2,200 shares of $0.50 par value common stock for $20.000 cash. f. Borrowed $11,000 cash from a local bank, payable in three months. g. Purchased a patent (an intangible asset) for $1,900 cash. h. Built an addition to the factory for $21,000; paid $7,300 in cash and signed a three-year note for the balance. i. Returned defective equipment to the manufacturer, receiving a cash refund of $1,700. 5. Prepare a classified balance sheet at December 31 of the current year. JAGUAR PLASTICS COMPANY Balance Sheet Assets Liabilities Stockholders' Equity
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