Question

3 --Quiz Ans Save Cash 1,500 Accounts Receivable 2,900 Valley Technology Balance Sheet As of January 24, 2020 (amounts in thousands) 9,700 Accounts Payable 4,500 Debt 3,800 Other Liabilities 16,400 Total Liabilities 1,700 Paid-In Capital Retained Earnings Total Equity 36,100 Total Liabilities & Equity Inventory Property Plant & Equipment Other Assets 800 5,200 7,300 23,600 Total Assets 30,900 36,100 Record the transactions in a journal, transfer the journal entries to T-accounts, compute closing amounts for the T-accounts, and construct a balance sheet to answer the question Jan 25. Buy $15,000 worth of manufacturing supplies on credit Jan 26. Issue $85,000 in stock Jan 27. Borrow $63,000 from a bank What is the final amount in Total Liabilities? Note: Transaction amounts are provided in dollars but the balance sheet units are thousands of dollars. Please specify your answer in the same units as the balance sheet (i.e., enter the number from your updated balance sheet).

Answer 1

Valley Technology
Journal Entries
Date	Particular	Debit Amt.	Credit Amt.
Jan 25	Supplies	15000
	To Account Payable		15000
	(Being  buy worth of manufacturing supplies on credit)
Jan 26	Cash	85000
	To Paid In Capital		85000
	(Being $85000 Issue in stock )
Jan 27	Cash	63000
	To Debt		63000
	(Being Borrow from Bank )

*Positng In T Account

Supplies
Date	Particular	Debit Amt.	Date	Particular	Credit Amt
Jan 25	Account Payable	15000
				Closing bal.	15000
	Total	15000			15000

Account Payable
Date	Particular	Debit Amt	Date	Particular	Credit Amt
			-	Opening Bal	1500
			Jan25	Supplies	15000
	Closing Bal.	16500
	Total	16500			16500

Cash
Date	Particular	Debit	Date	Particular	Credit
	Opening Bal	9700
Jan 26	Paid in capital	85000
Jan 27	Debt	63000
				Closing Bal.	157700
	Total	157700			157700

Paid In Capital
Date	Particular	Debit	Date	Particular	Credit
				Opening Bal.	7300
			jan.26	Cash	85000
	Closing Bal.	92300
	Total	92300			92300

Debt
Date	Particular	Debit	Date	Particular	Credit
				Opening Bal	2900
			jan27	Cash	63000
	Closing Bal.	65900
	Total	65900			65900

Valley Technology
Balance Sheet
As of January 24, 2020
Assets	Amount	Liablities	Amount
Cash	157700	Current Liablities
Account Receivable	4500	Account Payable	16500
Inventory	3800	Debt	65900
Property plant Equipment	16400	Other Liablities	800
Other Assets	1700	Total Current Liablities	83200
Supplies	15000
		Stockholders Equity
		Paid In Capital	92300
		Retained Earning	23600
		Total Stockholders Equity	115900
Total	199100	Total	199100