Red Toy Company reported the following comparative balance sheet:

Requirements
1. Compute the collections from customers during 2018 for Red Toy Company. Sales Revenue totaled $134,000.
2. Compute the payments for inventory during 2018. Cost of Goods Sold was $79,000.

Transcribed Image Text:

RED TOY COMPANY Comparative Balance Sheet December 31, 2018 and 2017 2018 2017 Assets Current Assets: $ 21,000 $ 17,000 Cash Accounts Receivable 42,000 53,000 Merchandise Inventory 76,000 88,000 Prepaid Expenses 2,100 3,100 Long-term Assets: Plants Assets, Net 221,000 185,000 Investments 77,000 91,000 $ 451,100 $ 425,100 Total Assets Liabilities Current Liabilities: $ 42,000 $ 38,000 Accounts Payable Salaries Payable 25,000 20,000 Accrued Liabilities 7,000 16,000 Long-term Liabilities: Notes Payable 61,000 69,000 Total Liabilities 135,000 143,000 Stockholders' Equity Common Stock, no par 45,000 40,000 Retained Earnings 271,100 242,100 Total Stockholders' Equity 282,100 316,100 Total Liabilities and Stockholders' Equity $ 451,100 $ 425,100