Account Balance Accounts payable $50,000 Account Balance Accounts receivable $80,000 Accrued taxes $20,000 Buildings (net value) $205,000 Cash $40,000 Dividends payable Equipment (net value) $180,000 $20,000 Account Balance Finished goods $30,000 Land value $115,000 Long-term mortgages $390,000 Notes payable $60,000 Raw material inventory $40,000 Stockholder's equity $150,000

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Question

The Scott Company shows the following alphabetical list of account balances as of December 31, 2018. Solve, a. Construct a balance sheet for Scott Company as of December 31, 2018. b. Demonstrate that the fundamental accounting equation holds by stating the dollar values of the terms in the equation.

Account
Balance
Accounts payable
$50,000
Account
Balance
Accounts receivable
$80,000
Accrued taxes
$20,000
Buildings (net value) $205,000
Cash
$40,000
Dividends payable
Equipment (net value) $180,000
$20,000
Account
Balance
Finished goods
$30,000
Land value
$115,000
Long-term mortgages $390,000
Notes payable
$60,000
Raw material inventory $40,000
Stockholder's equity
$150,000
Transcribed Image Text:Account Balance Accounts payable $50,000 Account Balance Accounts receivable $80,000 Accrued taxes $20,000 Buildings (net value) $205,000 Cash $40,000 Dividends payable Equipment (net value) $180,000 $20,000 Account Balance Finished goods $30,000 Land value $115,000 Long-term mortgages $390,000 Notes payable $60,000 Raw material inventory $40,000 Stockholder's equity $150,000
Expert Solution
steps

Step by step

Solved in 3 steps with 2 images

Blurred answer
Knowledge Booster
Double entry bookkeeping system
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education