Use Worksheet 2.1. Teresa Blankenship's banker has asked her to submit a personal balance sheet as of
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Use Worksheet 2.1. Teresa Blankenship's banker has asked her to submit a personal balance sheet as of June 30, 2015, in support of an application for a $6,000 home improvement loan. She comes to you for help in preparing it. So far, she has made the following list of her assets and liabilities as of June 30, 2015:
From the data given, prepare Teresa Blankenship's balance sheet, dated June 30, 2015 (follow the balance sheet form shown in Worksheet 2.1). Then evaluate her balance sheet relative to the following factors
(a) Solvency
(b) Liquidity
(c) Equity in her dominant asset.
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...
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Related Book For
Personal Financial Planning
ISBN: 978-1111971632
13th edition
Authors: Lawrence J. Gitman, Michael D. Joehnk, Randy Billingsley
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