Question

The following is a December 31, 2018, post-closing trial balance for Almway Corporation.

Account Title		Debits			Credits
Cash	$	45,000
Investments		110,000
Accounts receivable		60,000
Inventories		200,000
Prepaid insurance (for the next 9 months)		9,000
Land		90,000
Buildings		420,000
Accumulated depreciation—buildings				$	100,000
Equipment		110,000
Accumulated depreciation—equipment					60,000
Patents (net of amortization)		10,000
Accounts payable					75,000
Notes payable					130,000
Interest payable					20,000
Bonds Payable					240,000
Common stock					300,000
Retained earnings					129,000
Totals	$	1,054,000		$	1,054,000

Additional information:

The investment account includes an investment in common stock of another corporation of $30,000 which management intends to hold for at least three years. The balance of these investments is intended to be sold in the coming year.

The land account includes land which cost $25,000 that the company has not used and is currently listed for sale.

The cash account includes $15,000 restricted in a fund to pay bonds payable that mature in 2021 and $23,000 restricted in a three-month Treasury bill.

The notes payable account consists of the following:

a $30,000 note due in six months.

a $50,000 note due in six years.

a $50,000 note due in five annual installments of $10,000 each, with the next installment due February 15, 2019.

The $60,000 balance in accounts receivable is net of an allowance for uncollectible accounts of $8,000.

The common stock account represents 100,000 shares of no par value common stock issued and outstanding. The corporation has 500,000 shares authorized.

Prepare a classified balance sheet for the Almway Corporation at December 31, 2018

=> Liabilities and Shareholders'

EquityCurrent liabilitiesAccounts payable$75,000

Interest payable20,000

Notes payable30,000

Current maturities of long-term debt10,000

Total current liabilities135,000

Long-term liabilitiesNotes payable$90,000

Bonds payable240,000

Total long-term liabilities330,000

??????? what is the name of 465,000

Shareholders' equity

Common stock300,000

Retained earnings129,000

Total shareholders' equity429,000

total liabilities and shareholders' equity$894,000

Answer 1

ALMWAY CORPORATION
Balance sheet
December 31, 2018
Assets
Current Assets
Cash		30000
Restricted Cash		15000
Accounts Receivable	68000
Allowance for doubtful accounts	8000	60000
Short term investments		80000
Inventory		200000
Prepaid Insurance		9000
Land listed for sale		25000
Total Current Assets		419000
Investments		30000
Property, plant and equipment
Land		65000
Buildings	420000
Accumulated Depreciation - Buildings	100000	320000
Equipment	110000
Accumulated Depreciation - Equipment	60000	50000
Total property,plant and equipment		435000
Patents		10000
Total Assets		894000
Liabilities and stockholders' Equity
Current Liabilities
Accounts Payable		75000
Notes Payable		40000
interest Payable		20000
Current Liabilities		135000
Long-term liabilities
Long-term portion of notes payable		90000
Bonds Payable		240000
Total ong-term liabilities		330000
Total Liabilities		465000
Stockholders' Equity
common Stock		300000
(Authorized 500,000 shares of no par value,
100,000 shares issued and outstanding)
Retained Earnings		129000
Total Stockholders' equity		429000
Total liabilities and stockholders' equity		894000