Account Title Cash Accounts receivable Raw materials Notes receivable Debits Credits $ 26,000 142,000 30,000 Interest receivable 106,000 9,000 Interest payable $ 11,000 Investment in debt securities 38,000 Land 56,000 Buildings Accumulated depreciation-buildings Work in process Finished goods Equipment 1,420,000 626,000 48,000 95,000 312,000 Accumulated depreciation-equipment 136,000 Patent (net) 126,000 Prepaid rent (for the next two years) 66,000 Deferred revenue 42,000 Accounts payable 186,000 Notes payable 460,000 Restricted cash (for payment of notes payable) 86,000 Allowance for uncollectible accounts 19,000 Sales revenue 920,000 Cost of goods sold 456,000 Rent expense 34,000 Additional Information: 1. The notes receivable, along with any accrued interest, are due on November 22, 2022. 2. The notes payable are due in 2025. Interest is payable annually. 3. The investment in debt securities consist of treasury bills, all of which mature next year. 4. Deferred revenue will be recognized as revenue equally over the next two years. Current assets: Cash Accounts receivable Raw materials Notes receivable Interest receivable Investment in debt securities Work in process Finished goods Prepaid rent Total current assets Current liabilities: Interest payable Deferred revenue Accounts payable Total current liabilities Working capital 0 0 Determine the company's working capital using the table provided. Please show work.
Account Title Cash Accounts receivable Raw materials Notes receivable Debits Credits $ 26,000 142,000 30,000 Interest receivable 106,000 9,000 Interest payable $ 11,000 Investment in debt securities 38,000 Land 56,000 Buildings Accumulated depreciation-buildings Work in process Finished goods Equipment 1,420,000 626,000 48,000 95,000 312,000 Accumulated depreciation-equipment 136,000 Patent (net) 126,000 Prepaid rent (for the next two years) 66,000 Deferred revenue 42,000 Accounts payable 186,000 Notes payable 460,000 Restricted cash (for payment of notes payable) 86,000 Allowance for uncollectible accounts 19,000 Sales revenue 920,000 Cost of goods sold 456,000 Rent expense 34,000 Additional Information: 1. The notes receivable, along with any accrued interest, are due on November 22, 2022. 2. The notes payable are due in 2025. Interest is payable annually. 3. The investment in debt securities consist of treasury bills, all of which mature next year. 4. Deferred revenue will be recognized as revenue equally over the next two years. Current assets: Cash Accounts receivable Raw materials Notes receivable Interest receivable Investment in debt securities Work in process Finished goods Prepaid rent Total current assets Current liabilities: Interest payable Deferred revenue Accounts payable Total current liabilities Working capital 0 0 Determine the company's working capital using the table provided. Please show work.
Century 21 Accounting General Journal
11th Edition
ISBN:9781337680059
Author:Gilbertson
Publisher:Gilbertson
Chapter19: Accounting For Plant Assets, Depreciation, And Intangible Assets
Section19.6: Buying Intangible Assets And Calculating Amortization Expense
Problem 1OYO
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Transcribed Image Text:Account Title
Cash
Accounts receivable
Raw materials
Notes receivable
Debits
Credits
$
26,000
142,000
30,000
Interest receivable
106,000
9,000
Interest payable
$ 11,000
Investment in debt securities
38,000
Land
56,000
Buildings
Accumulated depreciation-buildings
Work in process
Finished goods
Equipment
1,420,000
626,000
48,000
95,000
312,000
Accumulated depreciation-equipment
136,000
Patent (net)
126,000
Prepaid rent (for the next two years)
66,000
Deferred revenue
42,000
Accounts payable
186,000
Notes payable
460,000
Restricted cash (for payment of notes payable)
86,000
Allowance for uncollectible accounts
19,000
Sales revenue
920,000
Cost of goods sold
456,000
Rent expense
34,000
Additional Information:
1. The notes receivable, along with any accrued interest, are due on November 22, 2022.
2. The notes payable are due in 2025. Interest is payable annually.
3. The investment in debt securities consist of treasury bills, all of which mature next year.
4. Deferred revenue will be recognized as revenue equally over the next two years.
Current assets:
Cash
Accounts receivable
Raw materials
Notes receivable
Interest receivable
Investment in debt securities
Work in process
Finished goods
Prepaid rent
Total current assets
Current liabilities:
Interest payable
Deferred revenue
Accounts payable
Total current liabilities
Working capital
0
0
Determine the company's working capital using the table provided. Please show work.
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