The following accounts appeared on the trial balance of Elbert Company at December 31, 2008. All accounts have normal balances.
Notes Payable $64,000 Accounts Receivable $172,800
Accumulated Depreciation - Bldg. $261,000 Prepaid Expenses $18,750
Supplies on Hand $12,600 Customers' Deposits $1,250
Accrued Salaries and Wages $11,400 Common Stock*** $375,000
*Investments in Debt Securities $93,800
Cash $56,750 Inventories (average cost) $526.750
Bonds Payable Due 1/1/12 $400,000 Land at Cost $155,000
Allowance for Doubtful Accts. $2,600 Trading Securities**** $24,400
Franchise $64,300 Accrued Interest on Notes Payable $650
Notes Receivable $46,000 Buildings at Cost $642,000
Income Taxes Payable $52,000 Accounts Payable $136,650
Preferred Stock** $250,000 Additional Paid-in Capital $54,600
Appropriated Retained Earnings $98,000
Unappropriated Retained Earnings $106,000
*The company intends to hold the securities until maturity, which is in ten years.
**8% cumulative; $10 par value; 25,000 shares authorized and outstanding.
***$1 par value; 400,000 shares authorized; 375,000 shares issued and outstanding.
****The company intends to sell the trading securities in the next year.
Directions: Prepare a classified balance sheet for Elbert Company on December 31, 2008 on a separate Excel spreadsheet as directed on the Problem Set 1 directions.© BrainMass Inc. brainmass.com December 15, 2020, 7:14 pm ad1c9bdddf
Financial reporting normal balances are examined. The accumulated depreciation prepaid expenses are determined.