Question

Terracotta Incorporated reported the following accounts and amounts (in millions) in its financial statements for the year ended December 2, 2016 $ 860 920 520 1,150 Accounts Payable Accounts Receivable Accumulated Amortization Accumulated Depreciation Allowance for Doubtful Accounts Cash and Cash Equivalents Common Stock Deferred Revenue Equipment Income Taxes Payable Notes Payable (long-term) Notes Receivable (long-term) Prepaid Rent Retained Earnings Service Revenue Short-Tere Investments Software 1,050 490 1,950 7.730 se 2.670 270 299 7,370 4.15 Prepare a classified balance sheet. The Allowance for Doubtful Accounts relates entirely to Accounts Receivable (Enter your answers in millions (ie., 10,000,000 should be entered as 10).) TERRACOTTA, INC. Balance Sheet As of December 2, 2016 in millions of dollars) Accounts Recolvable net of Allowa

Answer 1

Terracotta Incorporated Balance Sheet As on December 2, 2016 (In Millions of dollars) Assets Current assets: Cash and cash Equivalents Short term investment Prepaid rent Accounts Receivable Less Allowance for doubtful Accounts Accounts receivable, net of allowance Total current assets Non Current Assets Equipment Less: Accumulated Depreciation Equipment Net of Accumulated Depreciation Notes Receivable (Long term) Other Assets Soft ware Acumulated Amortization Soft ware, net of Accumulated Amrtization 1050 4150 290 920 -50 870 6360 7730 -1150 6580 270 930 -520 410 Total Assets 13620

Liabilities Current liabilities: Accounts payable Income Taxes payable Deferred Revenue Total current liabilities Long term Liabilities Notes payable Total Liabilities 860 50 1980 2890 2870 5760 Equity Capital Common stock Retained Earnings Total shareholder's equity Total liabilities and Equity Capital 490 7370 7860 13620