Montalvo Bionics showed the following alphabetized unadjusted trial balance at April 30, 2020: Account .................................................................................. Balance Accounts
Question:
Montalvo Bionics showed the following alphabetized unadjusted trial balance at April 30, 2020:
Account .................................................................................. Balance
Accounts payable .................................................................... $ 5,080
Accounts receivable ................................................................ 17,300
Accumulated depreciation, furniture ................................... 10,190
Accumulated depreciation, machinery ................................ 20,200
Allowance for doubtful accounts ............................................ 1,010
Cash .......................................................................................... 10,100
Expenses .................................................................................. 89,300
Furniture .................................................................................. 22,700
Josh Montalvo, capital ............................................................ 32,910
Josh Montalvo, withdrawals .................................................. 83,900
Machinery................................................................................. 50,800
Note payable ........................................................................... 14,600
Patent ....................................................................................... 24,900
Prepaid rent ............................................................................ 16,260
Revenues ............................................................................... 225,400
Unearned revenue.................................................................... 5,870
Other information:
a. All accounts have normal balances.
b. The furniture was depreciated using the straight-line method and had a useful life of five years and residual value of zero.
c. The machinery was depreciated using the double-declining-balance method and had a useful life of 10 years and residual value of $28,100.
d. The patent was purchased on November 2, 2019, and is expected to be used for 15 years, after which it will have no value.
e. The balance in Prepaid Rent represents rent from June 1, 2019, to May 31, 2020.
f. $6,500 of the note payable will be paid by April 30, 2021.
Required
Prepare a classified balance sheet at April 30, 2020.
Balance SheetBalance 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...
Step by Step Answer:
Fundamental Accounting Principles Volume I
ISBN: 978-1260305821
16th Canadian edition
Authors: Kermit Larson, Tilly Jensen, Heidi Dieckmann