Question

Prepare a classified balance sheet at September 30, 2013

[The following information applies to the questions displayed below.] The following accounts are taken from the financial statements of Paradise Resorts. at September 30, 2013 (Amounts are in millions.) Accounts Payable Cash Common Stock Equipment Income Tax Expense Interest Expense Notes Payable (long-term) Notes Payable (short-term) Prepaid Rent Retained Earnings Service Revenue Short-term Investments Software $ 830 3,950 13,800 3,850 470 220 1,750 470 1,950 4,300 13,800 8,000 3,400

Answer 1

Ans:

PARADISE RESORTS
Balance Sheet
At September 30, 2013
(in millions)
Assets		Liabilities
Current Assets		Current Liabilities
Cash	$3,950	Accounts Payable	$830
Prepaid Rent	$1,950	Notes Payable (short-term)	$470
Short-term Investments	$8,000
Total Current Assets	$13,900	Total Current Liabilities	$1,300
Equipment	$3,850	Notes Payable (long-term)	$1,750
Software	$3,400
		Total Liabilities	$3,050
		Stockholders' Equity
		Common Stock	13,800
		Retained Earnings	$4,300
Total Tangible Assets	$7,250	Total Stockholders' Equity	$18,100
Total Assets	$21,150	Total Liabilities and Stockholders' Equity	$21,150

Note:

1) Income tax expense,Interest expense and service revenue are recorded in income statement