The following are the ending balances of accounts at December 31, 2024, for the Valley Pump Corporation. Account Title Debits Credits Cash $ 25,000 56,000 81,000 Accounts receivable Inventory Interest payable Investment In equity securities Land Buildings Accumulated depreciation-buildings. Equipment 44,000 120,000 300,000 Totals 75,000 Accumulated depreciation-equipment Copyright (net) 12.000 Prepald expenses (next 12 months) 32,000 Accounts payable Deferred revenue (next 12 months) Notes payable Allowance for uncollectible accounts Common stock Retained earnings $ 10,000 100,000 25,000 65,000 20,000 250,000 5,000 200,000 70,000 $ 745,000 $745,000 Additional Information: 1. The $120,000 balance in the land account consists of $100,000 for the cost of land where the plant and office buildings are located. The remaining $20,000 represents the cost of land bein 2. The $44,000 balance in the investment in equity securities account represents an investment in the common stock of another corporation. Valley intends to sell one-half of the stock within t 3. The notes payable account consists of a $100,000 note due in six months and a $150,000 note due in three annual installments of $50,000 each, with the first payment due in August of 20 Required: Prepare a classified balance sheet for the Valley Pump Corporation at December 31, 2024. Use the additional information to help determine appropriate classifications and account balances.
The following are the ending balances of accounts at December 31, 2024, for the Valley Pump Corporation. Account Title Debits Credits Cash $ 25,000 56,000 81,000 Accounts receivable Inventory Interest payable Investment In equity securities Land Buildings Accumulated depreciation-buildings. Equipment 44,000 120,000 300,000 Totals 75,000 Accumulated depreciation-equipment Copyright (net) 12.000 Prepald expenses (next 12 months) 32,000 Accounts payable Deferred revenue (next 12 months) Notes payable Allowance for uncollectible accounts Common stock Retained earnings $ 10,000 100,000 25,000 65,000 20,000 250,000 5,000 200,000 70,000 $ 745,000 $745,000 Additional Information: 1. The $120,000 balance in the land account consists of $100,000 for the cost of land where the plant and office buildings are located. The remaining $20,000 represents the cost of land bein 2. The $44,000 balance in the investment in equity securities account represents an investment in the common stock of another corporation. Valley intends to sell one-half of the stock within t 3. The notes payable account consists of a $100,000 note due in six months and a $150,000 note due in three annual installments of $50,000 each, with the first payment due in August of 20 Required: Prepare a classified balance sheet for the Valley Pump Corporation at December 31, 2024. Use the additional information to help determine appropriate classifications and account balances.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:The following are the ending balances of accounts at December 31, 2024, for the Valley Pump Corporation.
Account Title
Debits
Credits
Cash
$ 25,000
Accounts receivable
Inventory
Interest payable
Investment In equity securities
Land
Buildings
Accumulated depreciation-buildings
Equipment
56,000
Totals
81,000
44,000
120,000
300,000
75,000
Accumulated depreciation-equipment
Copyright (net)
12,000
Prepald expenses (next 12 months) 32,000
Accounts payable
Deferred revenue (next 12 months)
Notes payable
Allowance for uncollectible accounts
Common stock
Retained earnings
$ 10,000
100,000
25,000
65,000
20,000
250,000
5,000
200,000
70,000
$ 745,000 $745,000
Additional Information:
1. The $120,000 balance in the land account consists of $100,000 for the cost of land where the plant and office buildings are located. The remaining $20,000 represents the cost of land being held for speculation.
2. The $44,000 balance in the investment in equity securities account represents an investment in the common stock of another corporation. Valley intends to sell one-half of the stock within the next year.
3. The notes payable account consists of a $100,000 note due in six months and a $150,000 note due in three annual installments of $50,000 each, with the first payment due in August of 2025.
Required:
Prepare a classified balance sheet for the Valley Pump Corporation at December 31, 2024. Use the additional information to help determine appropriate classifications and account balances.
Note: Amounts to be deducted should be Indicated by a minus sign.
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