Question

Stuart Company Balance Sheet As of January 24, 2020 (amounts in thousands)
Cash	8,400	Accounts Payable	2,800
Accounts Receivable	4,700	Debt	3,400
Inventory	4,200	Other Liabilities	900
Property Plant & Equipment	17,200	Total Liabilities	7,100
Other Assets	2,800	Paid-In Capital	6,700
		Retained Earnings	23,500
		Total Equity	30,200
Total Assets	37,300	Total Liabilities & Equity	37,300

Record the transactions in a journal, transfer the journal entries to T-accounts, compute closing amounts for the T-accounts, and construct a balance sheet to answer the question.

Jan 25. Borrow $52,000 from a bank
Jan 26. Purchase equipment for $48,000 in cash
Jan 27. Issue $85,000 in stock

What is the final amount in Total Assets?

Answer 1

Journal entries

Date	Accounts	Debit $	Credit $
Jan 25	Cash	52000
	Debt		52000
Jan 26	Equipment	48000
	Cash		48000
Jan 27	Cash	85000
	Common stock		85000

T- Accounts

Cash

Openings Balance	$ 8400	Equipment	48000
Debt	52000	Closing balance	97400
Common stock	85000
Total	$145400	Total	$145400

Equipment

Opening balance	$17200	Closing Balance	$ 65200
Cash	48000
Total	$65200	Total	$65200

Total equity

		Openings Balance	$30200
Closing balance	$115200	Cash ( common stock)	$85000
Total	115200		115200

Debt

		Openings Balance	$ 3400
Closing balance	$55400	Cash ( bank borrowing)	52000
Total	55400	Total	55400

Stuart Company Balance Sheet As of January 27, 2020 (amounts in thousands)
Cash	97400	Accounts Payable	2,800
Accounts Receivable	4,700	Debt	55400
Inventory	4,200	Other Liabilities	900
Property Plant & Equipment	65200	Total Liabilities	59100
Other Assets	2,800	Paid-In Capital	6,700
		Retained Earnings	23,500
		Common stock	85000
		Total Equity	115200
Total Assets	$174300	Total Liabilities & Equity	$174300

Total Assets= $ 174300