The following Classified Balance Sheet has numerous errors. Indicate the errors

Question

The following Classified Balance Sheet has numerous errors. Indicate the errors in this Balance Sheet by preparing a corrected Classified Balance Sheet with all required information.

Additional Information:
Land has an original cost of $3,000 and inventory cost the company $5,000.

Thompson Company, Inc Trial Balance For the year ended Dec. 31, 2012 Assets, Liabilities and Net Worth $18,000 Accumulated Depreciation $4,500 $5,000 $2,100 $12,000 $3,500 $27,100 $11,000 $38,100 Building, at cost Land, appraised value Inventory, retail price $9,000Note Payable (due 2015) 10,000 Wages payable Capital Stock Retained Earnings Accounts receivable Accounts payable Cash Total Assets $2,500 (S3,600Total Liabilities $2,200 Amount needed to balance $38,100 Total Liab. & Net worth

Explanation / Answer

Thompson company Inc Balance Sheet   As On Dec 31.2012. Assets   Liabilities & Equities Details Amt $ Details Amt $ Current Assets   Current Liabilities Cash                  2,200 Accounts Payable              3,600 Inventory less of cost & Market                    5,000 Wages Payable              2,100 Accounts Receivable                    2,500 Total Current Liabilities              5,700 Total Current Assets                    9,700 Non Current Laibilities Fixed Assets Note Payable (due 2015)              5,000 Land at Cost                  3,000 Building at cost               18,000 Total Non Current Laibilities Accumulated Depreciation                 (4,500) Total Fixed Assets               16,500 Total Liabilities            10,700 Stock holders'Equity Capital Stock            12,000 Retained Earning              3,500 Total Stock holders'Equity            15,500 Total Assets               26,200 Total Liabilities & Equities            26,200

Related Questions

Navigate

• Browse (All)
• Browse T
• Subjects

---