1. A company has the following balance sheet: Plant and equipment $500,000 Loans payable $150,000 Mortgage...
1. A company has the following balance sheet:
|
Plant and equipment |
$500,000 |
Loans payable |
$150,000 |
|
Mortgage payable |
300,000 |
||
|
_______ |
Shareholders’ equity |
50,000 |
|
|
Total |
$500,000 |
Total |
$500,000 |
The plant and equipment has a realizable value of $350,000, and is pledged as security for the mortgage. The estimated deficiency to unsecured creditors is:
a. $ 50,000
b. $100,000
c. $150,000
d. $200,000
2. A company has the following balance sheet:
|
Inventory |
$ 60,000 |
Accounts payable |
$ 75,000 |
|
Equipment, net |
150,000 |
Loan payable |
180,000 |
|
_______ |
Shareholders’ equity |
(45,000) |
|
|
Total |
$210,000 |
Total |
$210,000 |
The inventory has a realizable value of $50,000, and the equipment has a realizable value of $140,000. The equipment secures the loan payable and the accounts payable are unsecured. The estimated deficiency to unsecured creditors is:
a. $115,000
b. $ 45,000
c. $140,000
d. $ 65,000
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1. A company has the following balance
sheet:
Plant and equipment
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Loans payable
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Mortgage...
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309,000
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3 The following balance sheet has been prepared by the accountant for Limestone Company as of June 3, 2020, the date on which the company is to file a voluntary petition of bankruptcy: 58 Ints eBook LIMESTONE COMPANY Balance Sheet June 3, 2020 Assets Cash Accounts receivable (net) Inventory Land Buildings (net) Equipment (net) Total assets Liabilities and Equities Accounts payable Notes payable-current (secured by equipment) Notes payable-long-term (secured by land and buildings) Common stock Retained earnings Total liabilities and...
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Help Save & EN Submit Check my work 3 The following balance sheet has been prepared by the accountant for Limestone Company as of June 3, 2020, the date on which the company is to file a voluntary petition of bankruptcy: 6.68 points eBook Print LIMESTONE COMPANY Balance sheet June 3, 2020 Assets Cash Accounts receivable (net) Inventory Land Buildings (net) Equipment (net) Total assets Liabilities and Equities Accounts payable Notes payable-current (secured by equipment) Notes payable-long-term (secured by land...
Dellwood Corporation is experiencing difficulty in paying its
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September 30, 2020, show the following:
Assets Expected Realizable Value $ 20,000 Cash Accounts receivable 300,000 Inventory-materials 90,000 Inventory-finished goods 400,000 Land 150,000 Building 1,000,000 Trucks 70,000 Equipment 200,000 Secured by Liabilities Book Value Accounts payable $740,000 Bank loan 275,000 80% of receivables Wages payable 160,000 Taxes payable 50,000 Truck loan 85,000 Trucks with $30,000 estimated realizable value Mortgage payable 600,000...
The following balance sheet has been prepared by the accountant
for Limestone Company as of June 3, 2020, the date on which the
company is to file a voluntary petition of bankruptcy:
LIMESTONE COMPANY
Balance Sheet
June 3, 2020
Assets
Cash
$
12,000
Accounts receivable (net)
74,000
Inventory
106,000
Land
109,000
Buildings (net)
309,000
Equipment (net)
198,000
Total assets
$
808,000
Liabilities and Equities
Accounts payable
$
116,000
Notes payable—current (secured by equipment)
268,000
Notes payable—long-term (secured by land and...
Inventory with a book value of $240,000 and realizable value of
$175,000 is security for notes payable of $145,000. The equipment
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Deficiency to Unsecured Creditors Consider the following information for Evans, Inc. when the company entered bankruptcy proceedings: Account Balance per Books Dr (Cr) $31,700 646,800 Cash 320,000 10,600 750,000 123,500 Accounts receivable Inventory Prepaid expenses Buildings, net Equipment, net Goodwill Wages payable Taxes payable Accounts payable Notes...
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The following balance sheet has been prepared by the accountant for Limestone Company as of June 3, 2017, the date on which the company is to file a voluntary petition of bankruptcy: $ LIMESTONE COMPANY Balance Sheet June 3, 2017 Assets Cash Accounts receivable (net) Inventory Land Buildings (net) Equipment (net) Total assets Liabilities and Equities Accounts payable Notes payable-current (secured by equipment) Notes payable-long term (secured by land and buildings) Common stock Retained earnings Total liabilities and equities 4,000...
3 The following balance sheet has been prepared by the accountant for Limestone Company as of June 3, 2020, the date on which the company is to file a voluntary petition of bankruptcy: 58 Ints eBook LIMESTONE COMPANY Balance Sheet June 3, 2020 Assets Cash Accounts receivable (net) Inventory Land Buildings (net) Equipment (net) Total assets Liabilities and Equities Accounts payable Notes payable-current (secured by equipment) Notes payable-long-term (secured by land and buildings) Common stock Retained earnings Total liabilities and...
Help Save & EN Submit Check my work 3 The following balance sheet has been prepared by the accountant for Limestone Company as of June 3, 2020, the date on which the company is to file a voluntary petition of bankruptcy: 6.68 points eBook Print LIMESTONE COMPANY Balance sheet June 3, 2020 Assets Cash Accounts receivable (net) Inventory Land Buildings (net) Equipment (net) Total assets Liabilities and Equities Accounts payable Notes payable-current (secured by equipment) Notes payable-long-term (secured by land...
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