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The following is the ending balances of accounts at June 30, 2021, for Excell Company. Account Title Debits Credits Cash $ 85,000 Short-term investments 67,000
The following is the ending balances of accounts at June 30, 2021, for Excell Company.
Account Title | Debits | Credits | |||||
Cash | $ | 85,000 | |||||
Short-term investments | 67,000 | ||||||
Accounts receivable (net) | 282,000 | ||||||
Prepaid expenses (for the next 12 months) | 34,000 | ||||||
Land | 77,000 | ||||||
Buildings | 322,000 | ||||||
Accumulated depreciationbuildings | $ | 161,000 | |||||
Equipment | 266,000 | ||||||
Accumulated depreciationequipment | 121,000 | ||||||
Accounts payable | 174,000 | ||||||
Accrued liabilities | 46,000 | ||||||
Notes payable | 102,000 | ||||||
Mortgage payable | 240,000 | ||||||
Common stock | 110,000 | ||||||
Retained earnings | 179,000 | ||||||
Totals | $ | 1,133,000 | $ | 1,133,000 | |||
Additional information:
- The short-term investments account includes $19,000 in U.S. treasury bills purchased in May. The bills mature in July, 2021.
- The accounts receivable account consists of the following:
a. | Amounts owed by customers | $ | 226,000 | |
b. | Allowance for uncollectible accountstrade customers | (12,000 | ) | |
c. | Nontrade notes receivable (due in three years) | 66,000 | ||
d. | Interest receivable on notes (due in four months) | 2,000 | ||
Total | $ | 282,000 | ||
- The notes payable account consists of two notes of $51,000 each. One note is due on September 30, 2021, and the other is due on November 30, 2022.
- The mortgage payable is a loan payable to the bank in semiannual installments of $4,800 each plus interest. The next payment is due on October 31, 2021. Interest has been properly accrued and is included in accrued expenses.
- Seven hundred thousand shares of no par common stock are authorized, of which 220,000 shares have been issued and are outstanding.
- The land account includes $51,000 representing the cost of the land on which the company's office building resides. The remaining $26,000 is the cost of land that the company is holding for investment purposes
Please check what did I do wrong in the part of Liabilities of the Balance Sheet, there is also Notes Payable(current maturities and long term debt)
Liabilities and Shareholders' Equity Current liabilities: Accounts payable Accrued liabilities 174,000 46,000 51,000 4,800 Notes payable (current) Mortgage payable Total current liabilities 275,800 Long-term liabilities: $ Mortgage payable Notes payable (long-term) 235,200 51,000 Total long-term liabilities 286,200 562,000 Total liabilitiesStep by Step Solution
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