Question

Chapter 14 Homework Submit Saved Help Save & Exit Check my work Current assets for two different companies at fiscal year-end 2017 are listed here. One is a manufacturer, Rayzer Skis Mfg., and the other, Sunrise Foods, is a grocery distribution company. Account Company 1 Company 2 $10,000 41, 250 points Cash $12,000 Raw materials inventory Merchandise inventory Work in process inventory Finished goods inventory Accounts receivable, net Prepaid expenses 44, 258 eBook 30,000 50,000 68,000 900 Hint 59, 000 4,500 Print References Required: (1) Identify which set of numbers relates to the manufacturer and which to the merchandiser. (2) Prepare the current asset section for each company from this information. Complete this question by entering your answers in the tabs below. Reg 2 Company 2 Reg 2 Company 1 Req 1 Identify which set of numbers relates to the manufacturer and which to the merchandiser. Which of these company is manufacturer
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Answer 1

28 Required (1) Identify which set of numbers relates to the manufacturer and which to the merchandiser. Company 2, Rayzer Skis Mfg., is a manufacturing company with 3 inventory categories (raw materials, work in process, and finished goods). Company 1, Sunrise Foods, is a merchandising firm with only one inventory item, merchandise inventory- 35 (2) Prepare the current asset section for each company from this information Company 1 Sunrise Foods Balance Sheet - Current Asset Section Cash 12,000 Merchandise inventory 44,250 Accounts receivable,net 59,000 Prepaid expenses 4,500 Total Current Assets 119,750

Company 2 Rayzer Skis Mfg. Balance Sheet - Current Asset Section Cash 10,000 Raw materials inventory 41,250 Work in process inventory 30,000 Finished goods inventory 50,000 Accounts receivable,net 68,000 Prepaid expenses 900 Total Current Assets 200,150