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    Classified balance sheet for the Almway Corporation December 31 2013

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    The following is a December 31, 2013, post-closing trial balance for Almway Corporation.

    Account Title Debits Credits
    Cash 51,000
    Investments 116,000
    Accounts receivable 63,000
    Inventories 203,000
    Prepaid insurance 9,000
    Land 96,000
    Buildings 423,000
    Accumulated depreciation—buildings 103,000
    Equipment 113,000
    Accumulated depreciation—equipment 63,000
    Patents (net of amortization) 13,000
    Accounts payable 81,000
    Notes payable 139,000
    Interest payable 23,000
    Bonds payable 243,000
    Common stock 309,000
    Retained earnings 126,000
    Totals 1,087,000 1,087,000

    Additional information:
    1. The investment account includes an investment in common stock of another corporation of $33,000 which management intends to hold for at least three years. The balance of these investments is intended to be sold in the coming year.

    2. The land account includes land which cost $28,000 that the company has not used and is currently listed for sale.

    3. The cash account includes $18,000 set aside in a fund to pay bonds payable that mature in 2016 and $26,000 set aside in a three-month Treasury bill.

    4. The notes payable account consists of the following:
    a. a $33,000 note due in six months.
    b. a $53,000 note due in six years.
    c. a $53,000 note due in 5 annual installments of $10,600 each, with the next installment due February 15, 2014.

    5. The $63,000 balance in accounts receivable is net of an allowance for uncollectible accounts of $7,000.
    6. The common stock account represents 103,000 shares of no par value common stock issued and outstanding. The corporation has 500,000 shares authorized.

    Prepare a classified balance sheet for the Almway Corporation at December 31, 2013.

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    https://brainmass.com/business/income-statement/602088

    Solution Summary

    Your tutorial is attached showing the initial amounts in each account of the classified balance sheet and then the reclassification indicated with a number by each so you can follow the work. Click in cells to see computations.

    $2.19

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