Question: help Larni Products is a start-up computer software development firm. it currently owns computer equipment worth $30,000 and has cash on hand of $20,000 contributed

help
help Larni Products is a start-up computer software development firm. it currently

Larni Products is a start-up computer software development firm. it currently owns computer equipment worth $30,000 and has cash on hand of $20,000 contributed by Lanni's owners. - Lanni takes out a bank loan. It recelves $50,000 in cash and signs a note promising to pay back the loan over three yearsz - Lanni uses the cash from the bank plus $20,000 of its own funds to finance the development of new financlal planning software. - Lanni sells the software product to Microsoft, which will market it to the public under the Microsoft name. Lanni accepts payment in the form of 1,000 shares of Microsoft stock. - Lanni sells the shares of stock for $140 per share and uses part of the proceeds to pay off the bank loan. Required: a-1. Prepare its balance sheet just after it gets the bank loan. a-2. What is the ratio of real assets to total assets? (Round your answer to 1 decimal piace.)

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!