Avenue Company was formed and began business on January 1, 2019, when R. B. Street transferred merchandise

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Avenue Company was formed and began business on January 1, 2019, when R. B. Street transferred merchandise inventory with a value of $60,000, cash of $55,000, accounts receivable of $60,000, and accounts payable of $35,000. Common stock with a par value of $5 per share was issued to Mr. Street. The company€™s common stock was recorded at par. Avenue Company€™s statement of cash flows for 2019 is shown below:

Avenue Company Statement of Cash Flows Year Ended December 31, 2019 Cash Flow from Operations Net Income |Adjustments De


INSTRUCTIONS
Based on the data supplied, prepare the December 31, 2019, balance sheet for the corporation.

Analyze: Describe four adjusting entries that were made by Avenue Company in fiscal 2019.

Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...
Par Value
Par value is the face value of a bond. Par value is important for a bond or fixed-income instrument because it determines its maturity value as well as the dollar value of coupon payments. The market price of a bond may be above or below par,...
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College Accounting Chapters 1-30

ISBN: 978-1259631115

15th edition

Authors: John Price, M. David Haddock, Michael Farina

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