Question

FILL IN MISSING AMOUNTS ASSETS Cash $10,000 Accounts receivable 100,000 Inventory ----------- Total current assets 220,000 Gross plant and equipment 500,000 Less: accumulated depreciation ----------- Net plant and equipment 375,000 Total assets ----------- LIABILITIES ACCOUNTS PAYABLE $12,000 NOTES PAYABLE $50,000 TOTAL CURRENT LIABILITIES ----------------------------- LONG-TERM DEBT ---------------------------- TOTAL LIABILITIES $190,000 COMMON STOCK ($1 PAR, 1000,000 SHARES) ---------------------------- PAID - IN CAPITAL --------------------------- RETAINED EARNINGS $150,000 TOTAL STOCKHOLDERS EQUITY ------------------------------ TOTAL LIABILITIES AND EQUITY -------------------------------

Answer 1

Use your knowledge of balance sheets to fill in the missing
amounts:
ASSETS
Cash $10,000
Accounts receivable 100,000
Inventory $110,000
Total current assets 220,000
Gross plant and equipment 500,000
Less: accumulated depreciation $125,000
Net plant and equipment 375,000
Total assets $595,000

LIABILITIES
Accounts payable $12,000
Notes payable 50,000
Total current liabilities $62,000
Long-term debt $128,000
Total liabilities 190,000

Common stock ($1 par, 100,000 shares) $100,000
Paid-in capital $155,000
Retained earnings 150,000
Total stockholders’ equity $405,000
Total liabilities and equity $595,000

3. Use your knowledge of balance sheets to fill in the missing
amounts:
ASSETS
Cash $50,000
Accounts receivable 80,000
Inventory 100,000
Total current assets $230,000
Gross plant and equipment $730,000
Less: accumulated depreciation 130,000
Net plant and equipment 600,000
Total assets $830,000
LIABILITIES
Accounts payable $12,000
Notes payable 50,000
Total current liabilities $72,000
Long-term debt $146,000
Total liabilities $280,000
Common stock ($1 par, 100,000 shares) $100,000
Paid-in capital 250,000
Retained earnings 200,000
Total stockholders’ equity $550,000
Total liabilities and equity $830,000

4. Use your knowledge of balance sheets and common-size statements
to fill in the missing dollar amounts:
ASSETS
Cash $25,000 3.4%
Accounts receivable $125,000 17.0%
Inventory 200,000 27.1%
Total current assets $350,000 47.5%
Gross plant and equipment $700,000 95.0%
Less: accumulated depreciation $313,000 42.5%
Net plant and equipment $387,000 52.5%
Total assets $737,000 100.0%
LIABILITIES
Accounts payable $116,000 15.7%
Notes payable $29,000 3.9%
Total current liabilities $145.000 19.7%
Long-term debt $248,000 33.6%
Total liabilities $393,000 53.3%
Common stock ($.01 par,450,000 shares) $4,500 0.6%
Paid-in capital $220,500 29.9%
Retained earnings $119,000 16.1%
Total stockholders’ equity $344,000 46.7%
Total liabilities and equity $737,000 100.0%

Answer 2

Use your knowledge of balance sheets to fill in the missing
amounts:
ASSETS
Cash $10,000
Accounts receivable 100,000
Inventory $110,000
Total current assets 220,000
Gross plant and equipment 500,000
Less: accumulated depreciation $125,000
Net plant and equipment 375,000
Total assets $595,000

LIABILITIES
Accounts payable $12,000
Notes payable 50,000
Total current liabilities $62,000
Long-term debt $128,000
Total liabilities 190,000

Common stock ($1 par, 100,000 shares) $100,000
Paid-in capital $155,000
Retained earnings 150,000
Total stockholders’ equity $405,000
Total liabilities and equity $595,000