Presented below is the trial balance of Marigold Corporation at December 31, 201
ID: 2391091 • Letter: P
Question
Presented below is the trial balance of Marigold Corporation at December 31, 2017.
Debit
Credit
Cash
$ 200,620
Sales
$ 8,104,760
Debt Investments (trading) (cost, $145,000)
157,760
Cost of Goods Sold
4,800,000
Debt Investments (long-term)
302,620
Equity Investments (long-term)
280,620
Notes Payable (short-term)
94,760
Accounts Payable
459,760
Selling Expenses
2,004,760
Investment Revenue
66,470
Land
264,760
Buildings
1,043,620
Dividends Payable
139,620
Accrued Liabilities
100,760
Accounts Receivable
439,760
Accumulated Depreciation-Buildings
152,000
Allowance for Doubtful Accounts
29,760
Administrative Expenses
903,470
Interest Expense
214,470
Inventory
600,620
Gain (extraordinary)
83,470
Notes Payable (long-term)
903,620
Equipment
604,760
Bonds Payable
1,003,620
Accumulated Depreciation-Equipment
60,000
Franchises
160,000
Common Stock ($5 par)
1,004,760
Treasury Stock
195,760
Patents
195,000
Retained Earnings
81,620
Paid-in Capital in Excess of Par
83,620
$12,368,600
$12,368,600
Prepare a balance sheet at December 31, 2017, for Marigold Corporation. (Ignore income taxes). (List Current Assets in order of liquidity. List Property, Plant and Equipment in order of Land, Building and Equipment. Enter account name only and do not provide the descriptive information provided in the question.)
Debit
Credit
Cash
$ 200,620
Sales
$ 8,104,760
Debt Investments (trading) (cost, $145,000)
157,760
Cost of Goods Sold
4,800,000
Debt Investments (long-term)
302,620
Equity Investments (long-term)
280,620
Notes Payable (short-term)
94,760
Accounts Payable
459,760
Selling Expenses
2,004,760
Investment Revenue
66,470
Land
264,760
Buildings
1,043,620
Dividends Payable
139,620
Accrued Liabilities
100,760
Accounts Receivable
439,760
Accumulated Depreciation-Buildings
152,000
Allowance for Doubtful Accounts
29,760
Administrative Expenses
903,470
Interest Expense
214,470
Inventory
600,620
Gain (extraordinary)
83,470
Notes Payable (long-term)
903,620
Equipment
604,760
Bonds Payable
1,003,620
Accumulated Depreciation-Equipment
60,000
Franchises
160,000
Common Stock ($5 par)
1,004,760
Treasury Stock
195,760
Patents
195,000
Retained Earnings
81,620
Paid-in Capital in Excess of Par
83,620
Totals$12,368,600
$12,368,600
Explanation / Answer
Solution:
Marigold Corporation Balance Sheet As on December 31, 2017 Particulars Details Amount Assets: Current Assets: Cash $200,620.00 Accounts receivables - Gross $439,760.00 Less: Allowance for doubtful accounts $29,760.00 $410,000.00 Inventory $600,620.00 Investments: Debt Investment (Trading) $157,760.00 Debt Investment (Long term) $302,620.00 Stock Investment (Long term) $280,620.00 Property, Plant & Equipment: Land $264,760.00 Building $1,043,620.00 Accumulated Depreciation - Building $152,000.00 $891,620.00 Equipment $604,760.00 Accumulated Depreciation - Equipment $60,000.00 $544,760.00 Intangible Assets: Franchises $160,000.00 Patents $195,000.00 Total Assets $4,008,380.00 Liabilities: Current Liabilities: Notes Payable $94,760.00 Accounts Payable $459,760.00 Dividend payable $139,620.00 Accrued liabilities $100,760.00 Long term liabilities: Bond payable $1,003,620.00 Notes Payable $903,620.00 Stockholder's Equity: Common Stock $1,004,760.00 Paid-in Capital in Excess of Par $83,620.00 Retained earnings [$81,620 + $332,000 (Profit)] $413,620.00 Treasury Stock -$195,760.00 Total Liabilities & Stockholder's Equity $4,008,380.00