Question

ISM Industries provided the following account balance on December 31, 2019

Share capital
5,000,000.00

Share premium
500,000.00

Retained Earnings
880,000.00

Serial bonds payable (Php500,000.00 due every July 1 of each year)
2,500,000.00

Employees income tax payable
20,000.00

Notes payable
100,000.00

Accrued expenses
30,000.00

Accrued interest on note payable
10,000.00

Income tax payable
60,000.00

Allowance for doubtful accounts
50,000.00

Advances from customers
100,000.00

Accounts receivable
500,000.00

Accumulated depreciation – Building
1,600,000.00

Accumulated depreciation – Machinery
1,300,000.00

Investment in Bonds
1,500,000.00

Land
1,500,000.00

Machinery
2,000,000.00

Factory Supplies
50,000.00

Notes Receivable
150,000.00

Building
4,000,000.00

Cash
420,000.00

Claim receivable
20,000.00

Finished Goods
400,000.00

Franchise
200,000.00

Goods in process
600,000.00

Prepaid insurance
20,000.00

Raw Materials
200,000.00

Trading Securities
250,000.00

Tools
40,000.00

Goodwill
100,000.00

Plant expansion fund
500,000.00

Accounts payable
300,000.00

Required: A detail "NOTES" of financial position on December 31, 2019.

Answer 1

Answer-:

ISM industries

Statement of financial position

As on December 31st, 2019

Assets	Amount $	Amount $
Current Assets
Cash		420,000.00
Accounts receivable	500,000.00
Allowance for doubtful accounts	(50,000.00)	450,000.00
Notes Receivable		150,000.00
Claim receivable		20,000.00
Trading Securities		250,000.00
Prepaid insurance		20,000.00
Factory Supplies		50,000.00
Tools		40,000.00
Inventories
Finished Goods	400,000.00
Goods in process	600,000.00
Raw Materials	200,000.00	1,200,000.00
Current Assets		2,600,000.00
Non Current Assets
Long Term Investments
Investment in Bonds	1,500,000.00
Long Term Investments		1,500,000.00
Plant, Property & Equipment
Land		1,500,000.00
Building	4,000,000.00
Accumulated depreciation– Building	(1,600,000.00)	2,400,000.00
Machinery	2,000,000.00
Accumulated depreciation– Machinery	(1,300,000.00)	700,000.00
Plant, Property & Equipment		4,600,000.00
Intangible Assets
Franchise	200,000.00
Goodwill	100,000.00
Intangible Assets		300,000.00
Other Assets
Plant expansion fund	500,000.00
Other Assets		500,000.00
Total Assets		9,500,000.00
Liabilities & Stockholder's Equity
Liabilities
Current Liabilities
Accounts payable	300,000.00
Advances from customers	100,000.00
Accrued interest on note payable	10,000.00
Income tax payable	60,000.00
Accrued expenses	30,000.00
Employees income tax payable	20,000.00
Current portion of Serial bonds payable	500,000.00
Current Liabilities		1,020,000.00
Non Current Liabilities
Non Current portion of Serial bonds payable	2,000,000.00
Notes payable	100,000.00
Non Current Liabilities		2,100,000.00
Total Liabilities		3,120,000.00
Stockholder's Equity
Share capital	5,000,000.00
Share premium	500,000.00
Retained Earnings	880,000.00
Total Stockholder's Equity		6,380,000.00
Total Liabilities & Stockholder's Equity		9,500,000.00 ​​​​​

Thankyou ............