HERE COME THE CLOWNS! is the name of a traveling circus. The ledger accounts of the business at June 30, 2015, are listed here in alphabetical order:

Instructions

a. Prepare a balance sheet by using these items and computing the amount of Cash at June 30, 2015. Organize your balance sheet similar to the one illustrated in Exhibit 2–10 . Include a proper balance sheet heading.

b. Assume that late in the evening of June 30, after your balance sheet had been prepared, a fire destroyed one of the tents, which had cost $14,300. The tent was not insured. Explain what changes would be required in your June 30 balance sheet to reflect the loss of this asset.

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Accounts Payable Accounts Receivable Notes Payable .... Notes Receivable.. Props and Equipment. Retained Earnings . Salaries Payable... $ 26,100 7,450 189,060 24,630 $180,000 9,500 89,580 Animals... Cages.. Capital Stock 27,230 9,750 300,000 Tents... Trucks & Wagons . Cash.. Costumes. 63,000 105,840 31,500