Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The following is the ending balances of accounts at December 31, 2018 for the Weismuller Publishing Company. Account Title Cash Accounts receivable Inventories Prepaid expenses

The following is the ending balances of accounts at December 31, 2018 for the Weismuller Publishing Company. Account Title Cash Accounts receivable Inventories Prepaid expenses Machinery and equipment Accumulated depreciation-equipment Investments Accounts payable Interest payable Deferred revenue Taxes payable Notes payable Allowance for uncollectible accounts Common stock Retained earnings Totals Debits 85,000 180,000 295,000 168,000 340,000 160,000 1,228,000 Credits 120,000 70,000 30,000 90,000 40,000 250,000 26,000 410,000 192,000 1,228,000 Additional information: 1. Prepaid expenses include $140,000 paid on December 31, 2018, for a two-year lease on the building that houses both the administrative offices and the manufacturing facility. 2. Investments include $40,000 in Treasury bills purchased on November 30, 2018. The bills mature on January 30, 2019. The remaining $120,000 includes investments in marketable equity securities that the company intends to sell in the next year. 3. Deferred revenue represents customer prepayments for magazine subscriptions. Subscriptions are for periods of one year or less. 4. The notes payable account consists of the following: a. a $50,000 note due in six months. b. a $131,000 note due in six years. c. a $69,000 note due in three annual installments of $23,000 each, with the next installment due August 31, 2019. 5. The common stock account represents 410.000 shares of no par value common stock issued and outstanding. The corporation has
image text in transcribed
image text in transcribed
image text in transcribed
Required: Prepare a classified balanced sheet for the Weismuller Publishing Company at December 31, 2018. (Amounts to be deducted shoul be indicated by a minus sign.) The following is the ending balances of accounts at December 31, 2018 for the Weismuller Publishing Company. Additional information: 1. Prepaid expenses include $140,000 paid on December 31,2018 , for a two-year lease on the building that houses both the administrative offices and the manufacturing facility. 2. Investments include $40,000 in Treasury bills purchased on November 30, 2018. The bills mature on January 30, 2019. The remaining $120,000 includes investments in marketable equity securities that the company intends to sell in the next year. 3. Deferred revenue represents customer prepayments for magazine subscriptions. Subscriptions are for periods of one year or less. 4. The notes payable account consists of the following: a. a $50,000 note due in six months. b. a $131,000 note due in six years. c. a $69,000 note due in three annual instaliments of $23,000 each, with the next installment due August 31,2019. 5. The common stock account reoresents 410.000 shares of no Dar value common stock issued and outstandina. The corboration has

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Buck's The Next Step Advanced Medical Coding And Auditing

Authors: Elsevier

1st Edition

0323762778, 978-0323762779

More Books

Students also viewed these Accounting questions

Question

7. LO.2 What is the purpose of the constructive receipt doctrine?

Answered: 1 week ago