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The following balance sheet was prepared by the bookkeeper for Kraus Company as of December 31, 2014. Kraus Company Balance Sheet as of December 31,
The following balance sheet was prepared by the bookkeeper for Kraus Company as of December 31, 2014.
Kraus Company Balance Sheet as of December 31, 2014 | |||||
Cash | $92,840 | Accounts Payable | $82,930 | ||
Accounts receivable (net) | 52,980 | Bonds Payable | 100,000 | ||
Inventory | 63,400 | Stockholders' equity | 237,740 | ||
Investments | 75,860 | ||||
Equipment (net) | 104,080 | ||||
Patents | 31,510 | ||||
$420,670 | $420,670 |
The following additional information is provided:
1. | Cash includes the cash surrender value of a life insurance policy $8,320, and a bank overdraft of $2,650 has been deducted. | |
2. | The net accounts receivable balance includes: | |
(a) accounts receivable-debit balances $60,210; | ||
(b) accounts receivable-credit balances $3,650; | ||
(c) allowance for doubtful accounts $3,580. | ||
3. | Inventory does not include goods costing $2,630 shipped out on consignment. Receivables of $2,630 were recorded on these goods. | |
4. | Investments include investments in common stock, trading $18,880 and available-for-sale $47,790, and franchises $9,190. | |
5. | Equipment costing $4,740 with accumulated depreciation $3,740 is no longer used and is held for sale. Accumulated depreciation on the other equipment is $38,660. |
Prepare a balance sheet in good form (List Assets in order of liquidity.).
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