Balance Sheet Problem Please prepare a Balance sheet given

Balance Sheet Problem - Please prepare a Balance sheet given the following information ABC Ltd. Balance Sheet as of December 31, 2016 Accounts Payable Accounts Receivable Cash Notes Payable Inventory Prepared Expenses Wages Payable Retained Earnings Interest Payable Land Notes Payable (due in 2020) Building Store Equipment Goodwill Common Stock $40,000 35,000 20,000 25,000 60,000 2,000 1,500 28,000 500 10,000 55,000 80,000 35,000 8,000 100,000

Solution

Balance Sheet of ABC Ltd As at December 31, 2016 Assets Property, Plant, and Equipment Land $    10,000.00 Building $    80,000.00 Store Equipment $    35,000.00 Intangible Fixed Asset Goodwill $      8,000.00 Current Assets Cash $    20,000.00 Inventory $    60,000.00 Accounts Receivables $    35,000.00 Prepaid Expense $      2,000.00 Total Assets $ 250,000.00 Liabilities Long Term Liabilities Notes Payable $    55,000.00 Current Liabilities Accounts Payable $    40,000.00 Notes Payable $    25,000.00 Wages Payable $      1,500.00 Interest Payable $          500.00 Total Liabilities $ 122,000.00 Owners’ Equity Common Stock $ 100,000.00 Retained Earnings $    28,000.00 Total Owners’ Equity $ 128,000.00 Total $ 250,000.00