While on assignment you discover that you have misplaced the balance sheet of Bird Corporation as of
Question:
While on assignment you discover that you have misplaced the balance sheet of Bird Corporation as of January 1, Year 1. However, you do have the following data on Bird Corporation:
BIRD CORPORATION
Postclosing Trial Balance
December 31, Year 1
Debit balances
Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 100,000
Accounts receivable. . . . . . . . . . . . . . . . . . 120,000
Inventory . . . . . . . . . . . . . . . . . . . . . . . . . . 130,000
Property, plant, and equipment . . . . . . . . . 550,000
Other noncurrent investments . . . . . . . . . . 200,000
Total . . . . . . . . . . . . . . . . . . . . . . . . . . . .$1,100,000
Credit balances
Accounts payable. . . . . . . . . . . . . . . . . . $ 100,000
Current portion of long-term debt. . . . . . . . 80,000
Accumulated depreciation. . . . . . . . . . . . . 270,000
Long-term debt . . . . . . . . . . . . . . . . . . . . . 200,000
Common stock. . . . . . . . . . . . . . . . . . . . . . 300,000
Retained earnings. . . . . . . . . . . . . . . . . . . 150,000
Total. . . . . . . . . . . . . . . . . . . . . . . . . . . $1,100,000
BIRD CORPORATION
Statement of Cash Flows
For Year Ended December 31, Year 1
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Required:
Using the available data and information, prepare the balance sheet of Bird Corporation as of
January 1, Year 1. T-accounts can be helpful in reconstructing the individual accounts. (Equipment sold had accumulated depreciation of$50,000.)
Balance 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... Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...
Step by Step Answer:
BIRD CORPORATION Balance Sheet As of January 1 Year 1 Assets Cash 50000 Accounts receivable 90000 In...View the full answer
Financial Statement Analysis
ISBN: 978-0078110962
11th edition
Authors: K. R. Subramanyam, John Wild
