The following (given in scrambled order) are accounts and balances from the acco
ID: 2482884 • Letter: T
Question
The following (given in scrambled order) are accounts and balances from the accounting records of Alleg, Inc., as of December 31, 2012, after the books were closed for the year.
$12,000
Additional paid-in capital
38,000
Cash
14,000
Marketable securities
17,000
Accounts receivable
26,000
Accounts Payable
16,000
Current maturities of long-term debt
11,000
Mortgages payable
80,000
Bonds payable
65,000
Inventory
33,000
Land and buildings
57,000
Machinery and equipment
120,000
Goodwill
13,000
Patents
9,000
Other assets
45,000
Deferred income taxes (long-term liability)
18,000
Retained earnings
33,000
Accumulated depreciation
61,000
Bonds and mortgages generally have 10-30 years until maturity. Marketable securities are short-term investments that can be converted to cash in a matter of minutes.
Required:
Prepare a classified balance sheet with a proper heading on a spreadsheet. For assets, use the classifications of current assets, plant and equipment, intangibles, and other assets. For liabilities, use the classifications of current liabilities and long-term liabilities.
Compute the total asset turnover rate assuming that total revenues in 2012 were $682,500. Round to the nearest hundredth, e.g., 3.33.
Common stock, authorized 21,000 share
At $1 par value, issued 12,000 Shares
$12,000
Additional paid-in capital
38,000
Cash
14,000
Marketable securities
17,000
Accounts receivable
26,000
Accounts Payable
16,000
Current maturities of long-term debt
11,000
Mortgages payable
80,000
Bonds payable
65,000
Inventory
33,000
Land and buildings
57,000
Machinery and equipment
120,000
Goodwill
13,000
Patents
9,000
Other assets
45,000
Deferred income taxes (long-term liability)
18,000
Retained earnings
33,000
Accumulated depreciation
61,000
Explanation / Answer
Balance Sheet Liabilities Amt Assest Amt Share Holder Fund: Current Assets: Common Stock 12000 Cash 14000 Additional Paid Up Capital 38000 Marketable Sec 17000 Reatined Earning 33000 Account Receivable 26000 Inventory 33000 Long term Liabilities Mortage Payble 80000 Bond Payable 65000 Fixed Assets Defferd Income tax 18000 Land & building 57000 machinery & Equipment 120000 Current Liabilities; Goodwill 13000 Account Payable 16000 patent 9000 Current maturiets of long term 11000 Less : Depriciation -61000 138000 Other Assets 45000 273000 273000 Assest Turonevr ratio reveune/Total Assest 682500/273000 = 2.50