At December 31, 2014 the accounting records of Gordon, Inc. contain the following items:

Accounts Payable	$2,500	Accounts Receivable	$18,750
Land	$30,000	Cash	_____
Building	$31,250	Equipment	$40,000
Notes Payable	_____	Capital Stock	$12,500
Retained Earnings	$125,000

 Required

1. If the Notes Payable is $10,000, what is the cash balance on  December 31, 2014? 

2. If the Notes Payable balance is $25,000, then what will be the total assets of Gordon, Inc. at December 31, 2014?

Answer rating: 100% (QA)

1 To determine the cash balance on December 31 2014 we need to use the accounting equation Assets Li... View the full answer