From the following accounts, listed in alphabetical order, prepare a classified balance sheet for Balford Wholesalers as of December 31. Accounts payable $135,200 Inventory $369,200 Accounts receivable 140,400 Land 150,800 Building 236,600 Mortgage payable (long-term) 260,000 Cash 104,000 Office supplies 5,200 Common stock 353,600 Retained earnings ? Salaries payable 20,800 Balford Wholesalers Balance Sheet December 31, 2018 Assets Current Assets Accounts receivable Office supplies Total Current Assets Noncurrent Assets Building Total Noncurrent Assets Total Assets Liabilities & Stockholders' Equity Current Liabilities Salaries payable Total Current Liabilities Long-term Liabilities Total Liabilities Stockholders' Equity Common stock Total Stockholders’ Equity Total Liabilities & Stockholders’ Equity
Bad Debts
At the end of the accounting period, a financial statement is prepared by every company, then at that time while preparing the financial statement, the company determines among its total receivable amount how much portion of receivables is collected by the company during that accounting period.
Accounts Receivable
The word “account receivable” means the payment is yet to be made for the work that is already done. Generally, each and every business sells its goods and services either in cash or in credit. So, when the goods are sold on credit account receivable arise which means the company is going to get the payment from its customer to whom the goods are sold on credit. Usually, the credit period may be for a very short period of time and in some rare cases it takes a year.
From the following accounts, listed in alphabetical order, prepare a classified
| Accounts payable | $135,200 | Inventory | $369,200 | |||
| 140,400 | Land | 150,800 | ||||
| Building | 236,600 | Mortgage payable (long-term) | 260,000 | |||
| Cash | 104,000 | Office supplies | 5,200 | |||
| Common stock | 353,600 | ? | ||||
| Salaries payable | 20,800 |
| Balford Wholesalers | |
|---|---|
| Balance Sheet | |
| December 31, 2018 | |
| Assets | |
| Current Assets | |
| Accounts receivable | |
| Office supplies | |
| Total Current Assets | |
| Noncurrent Assets | |
| Building | |
| Total Noncurrent Assets | |
| Total Assets | |
| Liabilities & |
|
| Current Liabilities | |
| Salaries payable | |
| Total Current Liabilities | |
| Long-term Liabilities | |
| Total Liabilities | |
| Stockholders' Equity | |
| Common stock | |
| Total Stockholders’ Equity | |
| Total Liabilities & Stockholders’ Equity |
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