Question
. (TCO A) The following items are taken from the financial statements of PQR Company for 2013: Cash $100,000 Inventory 150,000 Accounts Payable 123,000 Accounts
.(TCO A) The following items are taken from the financial statements of PQR Company for 2013:
Cash
$100,000
Inventory
150,000
Accounts Payable
123,000
Accounts Receivable
40,000
Supplies
10,000
Salaries Payable
30,000
Unearned Revenue
75,000
Intangible assets
78,000
Property, plant, and equipment, net
156,000
Long term debt
50,000
Common Stock
25,000
Additional Paid in Capital
175,000
Retained Earnings, 12/31/2012
13,000
Service revenue
402,000
Cost of Goods Sold
250,000
Rent expense
48,000
Supplies expense
25,000
Insurance expense
36,000
Instructions:(1) Create a classified balance sheet in good form for the year ended 2013. (30 points)(2) Calculate the current ratio and debt ratio and explain your findings. (6 points) (Points : 36)
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College Accounting
Authors: Tracie Nobles, Cathy Scott, Douglas McQuaig, Patricia Bille
11th edition
978-1111528300, 1111528128, 1111528306, 978-1111528126
