Balance Sheet Optimum Weight Loss Co. offers personal weight reduction consulting services to individuals. After all the accounts have been closed on November 30, 2019, the end of the fiscal year, the balances of selected accounts from the ledger of Optimum Weight Loss Co. are as follows: Accounts Payable $8,710 Accounts Receivable 20,990 Accumulated Depreciation - Equipment 26,220 Cash ? Equipment 75,780 Land 101,000 Prepaid Insurance 4,880 Prepaid Rent 3,050 Salaries Payable 3,400 Cheryl Viers, Capital 174,720 Supplies 520 Unearned Fees 2,530 Prepare a classified balance sheet that includes the correct balance for Cash. Optimum Weight Co. Balance Sheet November 30, 2019 Assets Current assets: $ Total current assets $ Property, plant, and equipment: $ $ Total property, plant, and equipment Total assets $ Liabilities Current liabilities: $ Total liabilities $ Owner's Equity Total liabilities and owner's 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.
Optimum Weight Loss Co. offers personal weight reduction consulting services to individuals. After all the accounts have been closed on November 30, 2019, the end of the fiscal year, the balances of selected accounts from the ledger of Optimum Weight Loss Co. are as follows:
| Accounts Payable | $8,710 |
| 20,990 | |
| 26,220 | |
| Cash | ? |
| Equipment | 75,780 |
| Land | 101,000 |
| Prepaid Insurance | 4,880 |
| Prepaid Rent | 3,050 |
| Salaries Payable | 3,400 |
| Cheryl Viers, Capital | 174,720 |
| Supplies | 520 |
| Unearned Fees | 2,530 |
Prepare a classified balance sheet that includes the correct balance for Cash.
| Optimum Weight Co. | |||
| Balance Sheet | |||
| November 30, 2019 | |||
| Assets | |||
| Current assets: | |||
| $ | |||
| Total current assets | $ | ||
| Property, plant, and equipment: | |||
| $ | |||
| $ | |||
| Total property, plant, and equipment | |||
| Total assets | $ | ||
| Liabilities | |||
| Current liabilities: | |||
| $ | |||
| Total liabilities | $ | ||
| Owner's Equity | |||
| Total liabilities and owner's equity | $ |
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