Question
The following is the ending balances of accounts at December 31, 2018 for the Weismuller Publishing Company. Account Title Debits Credits Cash 75,000 Accounts receivable
The following is the ending balances of accounts at December 31, 2018 for the Weismuller Publishing Company. Account Title Debits Credits Cash 75,000 Accounts receivable 170,000 Inventories 290,000 Prepaid expenses 158,000 Machinery and equipment 330,000 Accumulated depreciationequipment 115,000 Investments 150,000 Accounts payable 65,000 Interest payable 25,000 Deferred revenue 85,000 Taxes payable 35,000 Notes payable 225,000 Allowance for uncollectible accounts 21,000 Common stock 405,000 Retained earnings 197,000 Totals 1,173,000 1,173,000 Additional information: Prepaid expenses include $130,000 paid on December 31, 2018, for a two-year lease on the building that houses both the administrative offices and the manufacturing facility. Investments include $35,000 in Treasury bills purchased on November 30, 2018. The bills mature on January 30, 2019. The remaining $115,000 includes investments in marketable equity securities that the company intends to sell in the next year. Deferred revenue represents customer prepayments for magazine subscriptions. Subscriptions are for periods of one year or less. The notes payable account consists of the following: a $45,000 note due in six months. a $105,000 note due in six years. a $75,000 note due in three annual installments of $25,000 each, with the next installment due August 31, 2019. The common stock account represents 405,000 shares of no par value common stock issued and outstanding. The corporation has 800,000 shares authorized. Required: Prepare a classified balanced sheet for the Weismuller Publishing Company at December 31, 2018. (Amounts to be deducted should be indicated by a minus sign.)
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