Question

Exercise 9-14A Preparing a classified balance sheet LO 9-6 points Required Use the following information to prepare a classified balance sheet for Alpha Co, at the end of Year 1. Book Accounts receivable Accounts payable Cash Common stock Land Long-term notes payable Merchandise inventory Retained earnings $26,500 12,200 20,500 30,000 10,000 17,500 26,300 23,600

Answer 1

Answer

Classified Balance Sheet
As of December 31, Year 1
Assets
Current assets
Cash	$20,500
Accounts receivables	$26,500
Merchandise Inventory	$26,300
Total current assets		$73,300
Property, plant and equipment
Land	$10,000
Total property, plant and equipment		$10,000
Total assets		$83,300
Liabilities and Stockholders’ Equity
Current liabilities
Accounts Payable		$12,200
Long-term liabilities
Long Term Notes Payable		$17,500
Total liabilities		$29,700
Stockholders’ equity
Common Stock	$30,000
Retained Earnings	$23,600
Total stockholders’ equity		$53,600
Total liabilities and stockholders’ equity		$83,300