Question

These items are taken from the financial statements of Ivanhoe Company at December 31, 2022. Buildings $90,988 10,836 Accounts receivable Prepaid insurance Cash Equipment 2,752 10,182 70,864 Land 52,632 Insurance expense 671 Depreciation expense 4,558 2,236 51,600 34,400 39,216 8,170 80,496 Interest expense Common stock Retained earnings (January 1, 2022) Accumulated depreciation-buildings Accounts payable Notes payable Accumulated depreciation-equipment Interest payable 16,099 3,096 12,642 Service revenue Prepare a classified balance sheet. Assume that $11,696 of the note payable will be paid in 2023. (List Current Assets in order of liquidity and Property, Plant and Equipment in order of Land, Buildings and Equipment.) IVANHOE COMPANY Balance Sheet

having trouble with the L&SE section of this problem

Answer 1

The answer has been presented in the supporting sheet. All the parts has been solved with detailed explanation and format. For detailed answer refer to the supporting sheet.

Answer In the given question, we have to construct the libilities and equity section of the balance sheet, as asked by the student. IVANHOE COMPANY Balance Sheet Liabilities and Shareholders Equity 5 Current Liabilities - Account Payable $ 8,170 3 Notes Payable Current Portion $ 11,696 e Interest Payable $ 3,096 Total Current Laibilities $ 22,962 1 Long Term Liabilities 2 Note Payable $ 68,800 3 Total Liabilties $ 91,762 4 Shareholders Equity 5 Common Stock $ 51,600 6 Reatined Earnings $ 39,577 7 Total stock holders Equity $ 91,177 8 Total Liabilities and stockholders Equity $ 182,939 9 Retained earning ending balance 0 = Beginning Balance + Net Income 1 = Beginning Balance + (Revenue - expenses) 2 = 34400+(12642-671-4558-2236) 3 = $ 39577 4 For any help please comment in the comment box 5 Thank You