In: Accounting
Balance Sheet The following is a list (in random order) of KIP International Products Company's December 31, 2016 balance sheet accounts of the International Products Company: Additional Paid-In Capital on Preferred Stock $ 2,240 Accounts Payable $ 14,900 Accounts Receivable 13,600 Prepaid Insurance 920 Dividends Payable 1,840 Discount on Bonds Payable 2,900 Buildings 58,800 Common Stock, $10 par 12,000 Bonds Payable (due 2019) 29,800 Equipment 41,200 Retained Earnings 92,060 Allowance for Doubtful Accounts 750 Office Supplies 2,110 Preferred Stock, $50 par 14,000 Current Income Taxes Payable 3,620 Accumulated Depreciation: Buildings 8,100 Accumulated Depreciation: Equipment 6,300 Current Interest Payable 2,770 Patents (net) 4,400 Investment in Held-to-Maturity Bonds 15,000 Notes Payable (due January 1, 2019) 12,600 Cash 8,800 Inventory 40,800 Treasury Stock (at cost) 1,200 Additional Paid-In Capital on Common Stock 6,000 Accrued Wages 3,050 Sinking Fund for Bond Retirement 7,300 Land 13,000 Required: 1. Prepare a properly classified balance sheet according to U.S. GAAP for KIP as of December 31, 2016. Kip International Products Company Balance Sheet December 31, 2016
KIP INTERNATIONAL PRODUCTS COMPANY | |||
Balance Sheet | |||
December 31, 2016 | |||
Assets | |||
Current Assets | |||
Cash | 8800 | ||
Accounts Receivable | 13600 | ||
Less: Allowance for Doubtful Accounts | -750 | 12850 | |
Inventory | 40800 | ||
Prepaid items | |||
Office Supplies | 2110 | ||
Prepaid Insurance | 920 | 3030 | |
Total current assets | 65480 | ||
Long-Term Investments | |||
Investment in Held-to-Maturity Bonds | 15000 | ||
Sinking Fund for Bond Retirement | 7300 | ||
Total long-term investments | 22300 | ||
Property, Plant, and Equipment | |||
Land | 13000 | ||
Buildings | 58800 | ||
Less: Accumulated Depreciation-Buildings | -8100 | 50700 | |
Equipment | 41200 | ||
Less: Accumulated Depreciation-Equipment | -6300 | 34900 | |
Total property, plant, and equipment | 98600 | ||
Intangible Assets | |||
Patents (net) | 4400 | ||
Total Assets | 190780 | ||
Liabilities | |||
Current Liabilities | |||
Accounts Payable | 14900 | ||
Accrued Wages | 3050 | ||
Interest Payable | 2770 | ||
Income Taxes Payable | 3620 | ||
Dividends Payable | 1840 | ||
Total current liabilities | 26180 | ||
Long-Term Liabilities | |||
Bonds Payable | 29800 | ||
Discount on Bonds Payable | -2900 | ||
Subtotal | 26900 | ||
Notes Payable (due in 2019) | 12600 | ||
Total long-term liabilities | 39500 | ||
Total liabilities | 65680 | ||
Shareholders' Equity | |||
Contributed Capital | |||
Preferred Stock | 14000 | ||
Common Stock | 12000 | ||
Additional paid-in capital on Preferred Stock | 2240 | ||
Additional paid-in capital on Common Stock | 6000 | ||
Total contributed capital | 34240 | ||
Retained earnings | 92060 | ||
Total contributed capital and retained earnings | 126300 | ||
Treasury Stock | -1200 | ||
Total Shareholders' Equity | 125100 | ||
Total Liabilities and Shareholders' Equity | 190780 |