The following items are from the liability and shareholders' equity sections of Devon Limited's December 31, 2018,
Question:
The following items are from the liability and shareholders' equity sections of Devon Limited's December 31, 2018, statement of financial position:
Accounts payable...............................................................................$ 13,100
Common shares...................................................................................115,400
Current portion of mortgage payable (long-term portion)....................29,000
Mortgage payable................................................................................231,255
Retained earnings................................................................................321,295
Unearned revenue.................................................................................14,180
Instructions
(a) Identify the statement of financial position category in which each of the above items should be classified.
(b) Prepare the liabilities and equity sections of the statement of financial position.
(c) If you completed P2-2B, compare the total assets in P2-2B with the total liabilities and shareholders' equity in P2-3B. Do these two amounts agree?
Step by Step Answer:
a Item Category Accounts payable Current liabilities Common shares Shareholders e...View the full answer
Financial Accounting Tools for Business Decision Making
ISBN: 978-1119368458
7th Canadian edition
Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso, Barbara Trenholm, Wayne Irvine
