Question

Blossom Company has collected the following information related to its December 31, 2022, balance sheet. Accounts receivable Accumulated depreciation equipment Cash $19,000 45,900 12,500 1,800 Equipment Inventory Supplies Goodwill $177,500 64,500 6,500 4,600 Stock investments (long-term) Prepare the assets section of Blossom Company's balance sheet. (List Current Assets in order of liquidity) BLOSSOM COMPANY Balance Sheet (partial) Assets $ I < >

Answer 1

The partial balance sheet will be prepared in the following manner:

Amount BLOSSOM COMPANY Balance Sheet At Dec 31 2022 ASSETS Current Assets Cash & Cash Equivalents Accounts Receivables, net Inventories Supplies Total Current Assets Long Term Investments Stock Investments Long Term Property, Plant & Equipment, net Equipment Less: Accumulated Depreciation - Equipment $ 12,500 $ 19,000 $ 64,500 $ 6,500 $ 102,500 $ 1,800 $ 177,500 $ -45,900 $ 131,600 Intangible Assets Goodwill TOTAL ASSETS $ 4,600 $ 240,500

Workings

A classified balance sheet presents assets under different categories including current assets, investments, PP&E and intangibles.

The balance sheet workings and calculations are given below:

BLOSSOM COMPANY Balance Sheet At Dec 31 2022 ASSETS Amount Current Assets Cash & Cash Equivalents 12500 Accounts Receivables, net 19000 Inventories 64500 Supplies 6500 Total Current Assets =12500+19000+64500+6500 Long Term Investments Stock Investments Long Term 1800 Property, Plant & Equipment, net Equipment 177500 Less: Accumulated Depreciation - Equipment -45900 =177500-45900 Intangible Assets Goodwill 4600 TOTAL ASSETS =102500+1800+131600+4600

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