The bookkeeper for Packard's Country Music Bar left this incomplete balance sheet. Packard's working capital is $90,000
Question:
The bookkeeper for Packard's Country Music Bar left this incomplete balance sheet. Packard's working capital is $90,000 and its debt to assets ratio is 40 percent.
Assets
Current assets
Cash .............................................................................$ 21,000
Accounts receivable............................................................. 42,000
Inventory.............................................................................. (A)
Prepaid expenses................................................................... 9,000
Total current assets.................................................................. (B)
Long-term assets
Building................................................................................ (C)
Less: Accumulated depreciation..............................................(39,000)
Total long-term assets...........................................................210,000
Total assets............................................................................$ (D)
Liabilities and Stockholders' Equity
Liabilities
Current liabilities
Accounts payable.............................................................. $ (E)
Notes payable................................................................ 12,000
Income tax payable.......................................................... 10,500
Total current liabilities...................................................... 37,500
Long-term liabilities
Mortgage payable................................................................. (F)
Total liabilities......................................................................(G)
Stockholders' equity
Common stock............................................................... 105,000
Retained earnings..................................................................(H)
Total stockholders' equity......................................................... (I)
Total liabilities and stockholders' equity...................................... $(J)
Required
Complete the balance sheet by supplying the missing amounts.
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:
A 55500 B 127500 C 249000 D 337500 E 15000 F 97500 G 135000 H 97500 I 2025...View the full answer
Fundamental Managerial Accounting Concepts
ISBN: 978-1259569197
8th edition
Authors: Thomas Edmonds, Christopher Edmonds, Bor Yi Tsay, Philip Olds
