The following is the ending balances of accounts at December 31, 2021, for the Weismuller Publishing Company.
Fantastic news! We've Found the answer you've been seeking!
Question:
The following is the ending balances of accounts at December 31, 2021, for the Weismuller Publishing Company.
Account Title | Debits | Credits | |||||
Cash | $ | 89,000 | |||||
Accounts receivable | 184,000 | ||||||
Inventory | 297,000 | ||||||
Prepaid expenses | 172,000 | ||||||
Equipment | 344,000 | ||||||
Accumulated depreciation | $ | 122,000 | |||||
Investments | 164,000 | ||||||
Accounts payable | 72,000 | ||||||
Interest payable | 32,000 | ||||||
Deferred revenue | 92,000 | ||||||
Income taxes payable | 42,000 | ||||||
Notes payable | 260,000 | ||||||
Allowance for uncollectible accounts | 28,000 | ||||||
Common stock | 412,000 | ||||||
Retained earnings | 1,000 | ||||||
Totals | $ | 1,250,000 | $ | 1,250,000 | |||
Additional information:
- Prepaid expenses include $150,000 paid on December 31, 2021, for a two-year lease on the building that houses both the administrative offices and the manufacturing facility.
- Investments include $45,000 in Treasury bills purchased on November 30, 2021. The bills mature on January 30, 2022. The remaining $125,000 is an investment in equity securities that the company intends to sell in the next year.
- Deferred revenue represents customer prepayments for magazine subscriptions. Subscriptions are for periods of one year or less.
- The notes payable account consists of the following:
- a $55,000 note due in six months.
- a $136,000 note due in six years.
- a $84,000 note due in three annual installments of $28,000 each, with the next installment due August 31, 2022.
- The common stock account represents 415,000 shares of no par value common stock issued and outstanding. The corporation has 830,000 shares authorized.
Required:
Prepare a classified balanced sheet for the Weismuller Publishing Company at December 31, 2021. (Amounts to be deducted should be indicated by a minus sign.)
Related Book For
Intermediate Accounting
ISBN: 978-1259548185
8th edition
Authors: David Spiceland, James Sepe, Mark Nelson, Wayne Thomas
Posted Date: