The following is a December 31, 2021, post-closing trial balance for Almway Corporation. Account Title Debits $ 55,000 Cash 120,000 65,000 205,000 7,000 100,000 425,000 Investment in equity. securities Accounts receivable Inventory Prepaid insurance (for the next 9 months) Land Buildings Accumulated depreciation- buildings Equipment Accumulated depreciation- equipment Patent (net) Accounts payable Notes payable Interest payable Bonds Payable Common stock Retained earnings Totals 115,000 15,000 Credits $ 105,000 65,000 85,000 145,000 25,000 245,000 315,000 122,000 $1,107,000 $1,107,000 Additional information: 1. The investment in equity securities account includes an investment in common stock of another corporation of $35,000 which management intends to hold for at least three years. The balance of these investments is intended to be sold in the coming year. 2. The land account includes land which cost $30,000 that the company has not used and is currently listed for sale. 3. The cash account includes $20,000 restricted in a fund to pay bonds payable that mature in 2024 and $28,000 restricted in a three-month Treasury bill. 4. The notes payable account consists of the following: a. a $35,000 note due in six months. b. a $55,000 note due in six years. c. a $55,000 note due in five annual installments of $11,000 each, with the next installment due February 15, 2022. 5. The $65,000 balance in accounts receivable is net of an allowance for uncollectible accounts of $8,000. 6. The common stock account represents 105,000 shares of no par value common stock issued and outstanding. The corporation has 600,000 shares authorized. Required: Prepare a classified balance sheet for the Almway Corporation at December 31, 2021. (Amounts to be deducted should be indicated by a minus sign.)
The following is a December 31, 2021, post-closing trial balance for Almway Corporation. Account Title Debits $ 55,000 Cash 120,000 65,000 205,000 7,000 100,000 425,000 Investment in equity. securities Accounts receivable Inventory Prepaid insurance (for the next 9 months) Land Buildings Accumulated depreciation- buildings Equipment Accumulated depreciation- equipment Patent (net) Accounts payable Notes payable Interest payable Bonds Payable Common stock Retained earnings Totals 115,000 15,000 Credits $ 105,000 65,000 85,000 145,000 25,000 245,000 315,000 122,000 $1,107,000 $1,107,000 Additional information: 1. The investment in equity securities account includes an investment in common stock of another corporation of $35,000 which management intends to hold for at least three years. The balance of these investments is intended to be sold in the coming year. 2. The land account includes land which cost $30,000 that the company has not used and is currently listed for sale. 3. The cash account includes $20,000 restricted in a fund to pay bonds payable that mature in 2024 and $28,000 restricted in a three-month Treasury bill. 4. The notes payable account consists of the following: a. a $35,000 note due in six months. b. a $55,000 note due in six years. c. a $55,000 note due in five annual installments of $11,000 each, with the next installment due February 15, 2022. 5. The $65,000 balance in accounts receivable is net of an allowance for uncollectible accounts of $8,000. 6. The common stock account represents 105,000 shares of no par value common stock issued and outstanding. The corporation has 600,000 shares authorized. Required: Prepare a classified balance sheet for the Almway Corporation at December 31, 2021. (Amounts to be deducted should be indicated by a minus sign.)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:The following is a December 31, 2021, post-closing trial balance for Almway Corporation.
Account Title
Cash
Investment in equity
securities
Accounts receivable
Inventory
Prepaid insurance (for
the next 9 months)
Land
Buildings
Accumulated depreciation-
buildings
Equipment
Accumulated depreciation-
equipment
Patent (net)
Accounts payable
Notes payable
Interest payable
Bonds Payable
Common tock
Retained earnings
Totals
$
Debits
55,000
120,000
65,000
205,000
7,000
100,000
425,000
115,000
15,000
Credits
$ 105,000
65,000
85,000
145,000
25,000
245,000
315,000
122,000
$1,107,000 $1,107,000
Additional information:
1. The investment in equity securities account includes an investment in common stock of another corporation of
$35,000 which management intends to hold for at least three years. The balance of these investments is intended to
be sold in the coming year.
2. The land account includes land which cost $30,000 that the company has not used and is currently listed for sale.
3. The cash account includes $20,000 restricted in a fund to pay bonds payable that mature in 2024 and $28,000
restricted in a three-month Treasury bill.
4. The notes payable account consists of the following:
a. a $35,000 note due in six months.
b. a $55,000 note due in six years.
c. a $55,000 note due in five annual installments of $11,000 each, with the next installment due February 15, 2022.
5. The $65,000 balance in accounts receivable is net of an allowance for uncollectible accounts of $8,000.
6. The common stock account represents 105,000 shares of no par value common stock issued and outstanding. The
corporation has 600,000 shares authorized.
Required:
Prepare a classified balance sheet for the Almway Corporation at December 31, 2021. (Amounts to be deducted should
be indicated by a minus sign.)
Transcribed Image Text:Current assets:
Cash and cash equivalents
Total current assets
Short-term investments
Allowance for uncollectible accounts
Inventory
Net accounts receivable
Investments:
Total investments
Property, plant, and equipment:
ALMWAY CORPORATION
Balance Sheet
At December 31, 2021
Assets
Show Transcribed Text
Total assets
Current liabilities:
Net property, plant, and equipment
Intangible assets:
Answer is not complete.
Total current liabilities
Long-term liabilities:
equity
Total long-term liabilities
Total liabilities
Shareholders' equity:
✓
✓
✓
X
Total shareholders' equity
Total liabilities and shareholders'
65,000 X
212,000 X
Liabilities and Shareholders' Equity
0
IS
35,000
85,000✔
277,000
35,000 X
30,000 X
20,000 X
482.000
0
0
$ 482,000
S
0
0
0
0
0
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