The following balance sheet was prepared by the bookkeeper for Kraus Company as of December 31, 2014.
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The following balance sheet was prepared by the bookkeeper for Kraus Company as of December 31, 2014.
Kraus Company Balance Sheet as of December 31, 2014 | |||||
Cash | $92,840 | Accounts Payable | $82,930 | ||
Accounts receivable (net) | 52,980 | Bonds Payable | 100,000 | ||
Inventory | 63,400 | Stockholders' equity | 237,740 | ||
Investments | 75,860 | ||||
Equipment (net) | 104,080 | ||||
Patents | 31,510 | ||||
$420,670 | $420,670 |
The following additional information is provided:
1. | Cash includes the cash surrender value of a life insurance policy $8,320, and a bank overdraft of $2,650 has been deducted. | |
2. | The net accounts receivable balance includes: | |
(a) accounts receivable-debit balances $60,210; | ||
(b) accounts receivable-credit balances $3,650; | ||
(c) allowance for doubtful accounts $3,580. | ||
3. | Inventory does not include goods costing $2,630 shipped out on consignment. Receivables of $2,630 were recorded on these goods. | |
4. | Investments include investments in common stock, trading $18,880 and available-for-sale $47,790, and franchises $9,190. | |
5. | Equipment costing $4,740 with accumulated depreciation $3,740 is no longer used and is held for sale. Accumulated depreciation on the other equipment is $38,660. |
Prepare a balance sheet in good form (List Assets in order of liquidity.).
Related Book For
Intermediate Accounting
ISBN: 978-1118147290
15th edition
Authors: Donald E. Kieso, Jerry J. Weygandt, and Terry D. Warfield
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