On December 31, 2020, Marigold Company had $1,232,000 of short-term debt in the form of notes payable due February 2, 2021. On January 21, 2021, the company issued 25,500 shares of its common stock for $48 per share, receiving $1,224,000 proceeds after brokerage fees and other costs of issuance. On February 2, 2021, the proceeds from the stock sale, supplemented by an additional $8,000 cash, are used to liquidate the $1,232,000 debt. The December 31, 2020, balance sheet is issued on February 23, 2021.
Show how the $1,232,000 of short-term debt should be presented on the December 31, 2020, balance sheet. (Enter account name only and do not provide descriptive information.)
ANSWER
Marigold Company Partial Balance Sheet December 31, 2020 |
|
Current Liabilities: |
|
Notes Payable (Note 1) |
$ 8,000 |
Long Term Debt: |
|
Notes Payable refinanced in February 2021 |
$1,224,000 |
Note: Short-term debt refinanced. As of December 31, 2020, the company had notes payable totalling $1,232,000 due on February 2, 2021. These notes were refinanced on their due date to the extent of $1,224,000 received from the issuance of common stock on January 21, 2021. The balance of $8,000 was liquidated using current assets.
_____________________________________________
If you have any query or any Explanation please ask me in the comment box, i am here to helps you.please give me positive rating.
*****************THANK YOU**************
On December 31, 2020, Marigold Company had $1,232,000 of short-term debt in the form of notes...
On December 31, 2020, Grand Company had $1,232,000 of short-term debt in the form of notes payable due February 2, 2021. On January 21, 2021, the company issued 25,500 shares of its common stock for $48 per share, receiving $1,224,000 proceeds after brokerage fees and other costs of issuance. On February 2, 2021, the proceeds from the stock sale, supplemented by an additional $8,000 cash, are used to liquidate the $1,232,000 debt. The December 31, 2020, balance sheet is issued...
On December 31, 2020, Bluesky Company had $1,232,000 of short-term debt in the form of notes payable due February 2, 2021. On January 21, 2021, the company issued 25,500 shares of its common stock for $48 per share, receiving $1,224,000 proceeds after brokerage fees and other costs of issuance. On February 2, 2021, the proceeds from the stock sale, supplemented by an additional $8,000 cash, are used to liquidate the $1,232,000 debt. The December 31, 2020, balance sheet is issued...
On December 31, 2020, Waterway Company had $1,313,000 of short-term debt in the form of notes payable due February 2,2021. On January 21, 2021, the company issued 23,200 shares of its common stock for $45 per share, receiving $1,044,000 proceeds after brokerage fees and other costs of issuance. On February 2, 2021, the proceeds from the stock sale, supplemented by an additional $269,000 cash, are used to liquidate the $1,313,000 debt. The December 31, 2020, balance sheet is issued on...
On December 31, 2020, Whispering Company had $1,094,000 of short-term debt in the form of notes payable due February 2, 2021. On January 21, 2021, the company issued 24,000 shares of its common stock for $28 per share, receiving $672,000 proceeds after brokerage fees and other costs of issuance. On February 2, 2021, the proceeds from the stock sale, supplemented by an additional $422,000 cash, are used to liquidate the $1,094,000 debt. The December 31, 2020, balance sheet is issued...
Exercise 13-08 On December 31, 2020, Waterway Company had $1,085,000 of short-term debt in the form of notes payable due February 2, 2021. On January 21, 2021, the company issued 23,800 shares of its common stock for $28 per share, receiving $666,400 proceeds after brokerage fees and other costs of issuance. On February 2, 2021, the proceeds from the stock sale, supplemented by an additional $418,600 cash, are used to liquidate the $1,085,000 debt. The December 31, 2020, balance sheet...
On December 31, 2017, Ivanhoe Company had $1,107,000 of short-term debt in the form of notes payable due February 2, 2018. On January 21, 2018, the company issued 26,800 shares of its common stock for $29 per share, receiving $777,200 proceeds after brokerage fees and other costs of issuance. On February 2, 2018, the proceeds from the stock sale, supplemented by an additional $329,800 cash, are used to liquidate the $1,107,000 debt. The December 31, 2017, balance sheet is issued...
On December 31, 2017, Wildhorse Company had $1,313,000 of short-term debt in the form of notes payable due February 2, 2018. On January 21, 2018, the company issued 23,200 shares of its common stock for $45 per share, receiving $1,044,000 proceeds after brokerage fees and other costs of issuance. On February 2, 2018, the proceeds from the stock sale, supplemented by an additional $269,000 cash, are used to liquidate the $1,313,000 debt. The December 31, 2017, balance sheet is issued...
Exercise 13-8 On December 31, 2017, Marin Company had $1,133,000 of short-term debt in the form of notes payable due February 2, 2018. On January 21, 2018, the company issued 27,100 shares of its common stock for $29 per share, receiving $785,900 proceeds after brokerage fees and other costs of issuance. On February 2, 2018, the proceeds from the stock sale, supplemented by an additional $347,100 cash, are used to liquidate the $1,133,000 debt. The December 31, 2017, balance sheet...
IFRS 13-07 On December 31, 2020, Waterway Company had $1,104,000 of short-term debt in the form of notes payable due February 2, 2021. On January 21, 2021, the company issued 23,000 ordinary shares for $33 per share, receiving $828,000 proceeds after brokerage fees and other costs of issuance. On February 2, 2021, the proceeds from the share sale, supplemented by an additional $276,000 cash, are used to liquidate the $1,104,000 debt. The December 31, 2020, statement of financial position is...
On December 31, 2017, Indigo Company had $1,206,000 of short-term debt in the form of notes payable due February 2, 2018. On January 21, 2018, the company issued 23,700 shares of its common stock for $33 per share, receiving $782,100 proceeds after brokerage fees and other costs of issuance. On February 2, 2018, the proceeds from the stock sale, supplemented by an additional $423,900 cash, are used to liquidate the $1,206,000 debt. The December 31, 2017, balance sheet is issued...