On December 31, 2013, a fire destroyed a significant portion of Richey Company's accounting records. Only the

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On December 31, 2013, a fire destroyed a significant portion of Richey Company's accounting records. Only the January 1, 2013, balance sheet, the statement of cash flows for 2013, and several additional documents were saved as follows:

On December 31, 2013, a fire destroyed a significant portion
On December 31, 2013, a fire destroyed a significant portion

Schedule 1: Investing and Financing Activities Not Affecting Cash
Investing Activities:
Acquisition of land by issuance of preferred stock (40 shares).............. $(4,800)
Financing Activities:
Issuance of preferred stock to acquire land.................................... 4,800
The remaining financial documents reveal the following additional data:
• The new building was acquired on December 31, 2013. The related mortgage requires equal annual repayments of the principal over a 5-year period beginning December 31, 2015.
• The company issued a stock dividend of 200 shares of common stock on December 14, 2013. On the date of declaration, the stock was selling for $18 per share.
• The equipment that was sold had an original cost of $1,900.
Required:
Prepare a December 31, 2013, balance sheet for Richey. Include supporting calculations.

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Intermediate Accounting Reporting and Analysis

ISBN: 978-1111822361

1st edition

Authors: James M. Wahlen, Jefferson P. Jones, Donald Pagach

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