2/7/2021 Assignment Print View
Score: 20/20 Points 100 %
2/7/2021 Assignment Print View
8. Award: 3 out of 3.00 points
The following is the ending balances of accounts at December 31, 2021, for the Weismuller Publishing Company.
Account Title Debits Credits
Cash $ 81,000
Accounts receivable 176,000
Inventory 293,000
Prepaid expenses 164,000
Equipment 336,000
Accumulated depreciation $ 118,000
Investments 156,000
Accounts payable 68,000
Interest payable 28,000
Deferred revenue 88,000
Income taxes payable 38,000
Notes payable 240,000
Allowance for uncollectible accounts 24,000
Common stock 408,000
Retained earnings 194,000
Totals $1,206,000 $1,206,000
Additional information:
1. Prepaid expenses include $136,000 paid on December 31, 2021, for a two-year lease on the building that
houses both the administrative offices and the manufacturing facility.
2. Investments include $38,000 in Treasury bills purchased on November 30, 2021. The bills mature on January
30, 2022. The remaining $118,000 is an investment in equity securities that the company intends to sell in the
next year.
3. Deferred revenue represents customer prepayments for magazine subscriptions. Subscriptions are for periods
of one year or less.
4. The notes payable account consists of the following:
a. a $48,000 note due in six months.
b. a $129,000 note due in six years.
c. a $63,000 note due in three annual installments of $21,000 each, with the next installment due August 31,
2022.
5. The common stock account represents 408,000 shares of no par value common stock issued and outstanding.
The corporation has 816,000 shares authorized.
Required:
Prepare a classified balanced sheet for the Weismuller Publishing Company at December 31, 2021. (Amounts to
be deducted should be indicated by a minus sign.)
2/7/2021 Assignment Print View
WEISMULLER PUBLISHING COMPANY
Balance Sheet
At December 31, 2021
Assets
Current assets:
Cash and cash equivalents
$ 119,000
Investment in equity securities
118,000
Accounts receivable
176,000
Allowance for uncollectible accounts
(24,000)
Net accounts receivable 152,000
Inventory
293,000
Prepaid expenses
96,000
Total current assets 778,000
Property, plant, and equipment:
Equipment
$ 336,000
Accumulated depreciation
(118,000)
Net property, plant, and equipment 218,000
Other assets:
Prepaid expenses
68,000
Total assets $ 1,064,000
Liabilities and Shareholders' Equity
Current liabilities:
Accounts payable
$ 68,000
Interest payable
28,000
Deferred revenue
88,000
Income taxes payable
38,000
Notes payable (current)
48,000
Notes payable (current maturities of long-term debt)
21,000
Total current liabilities 291,000
Long-term liabilities:
Notes payable (long-term)
171,000
Total liabilities 462,000
Shareholders’ equity:
Common stock
$ 408,000
Retained earnings
194,000
Total shareholders’ equity 602,000
Total liabilities and shareholders’ equity $ 1,064,000
2/7/2021 Assignment Print View
rev: 01_30_2020_QC_CS-195439, 04_20_2020_QC_CS-208783
The following is the ending balances of accounts at December 31, 2021, for the Weismuller Publishing Company.
Account Title Debits Credits
Cash $ 81,000
Accounts receivable 176,000
Inventory 293,000
Prepaid expenses 164,000
Equipment 336,000
Accumulated depreciation $ 118,000
Investments 156,000
Accounts payable 68,000
Interest payable 28,000
Deferred revenue 88,000
Income taxes payable 38,000
Notes payable 240,000
Allowance for uncollectible accounts 24,000
Common stock 408,000
Retained earnings 194,000
Totals $1,206,000 $1,206,000
Additional information:
1. Prepaid expenses include $136,000 paid on December 31, 2021, for a two-year lease on the building that
houses both the administrative offices and the manufacturing facility.
2.Investments include $38,000 in Treasury bills purchased on November 30, 2021. The bills mature on January
30, 2022. The remaining $118,000 is an investment in equity securities that the company intends to sell in the
next year.
3. Deferred revenue represents customer prepayments for magazine subscriptions. Subscriptions are for periods
of one year or less.
4. The notes payable account consists of the following:
a. a $48,000 note due in six months.
b. a $129,000 note due in six years.
c. a $63,000 note due in three annual installments of $21,000 each, with the next installment due August 31,
2022.
5. The common stock account represents 408,000 shares of no par value common stock issued and outstanding.
The corporation has 816,000 shares authorized.
Required:
Prepare a classified balanced sheet for the Weismuller Publishing Company at December 31, 2021. (Amounts to
be deducted should be indicated by a minus sign.)
2/7/2021 Assignment Print View
$
$
$
$
WEISMULLER PUBLISHING COMPANY
Balance Sheet
At December 31, 2021
Assets
Current assets:
Cash and cash equivalents 119,000
Investment in equity securities 118,000
Accounts receivable 176,000
Allowance for uncollectible accounts (24,000)
Net accounts receivable
Inventory 293,000
Prepaid expenses 96,000
Total current assets
Property, plant, and equipment:
Equipment 336,000
Accumulated depreciation (118,000)
Net property, plant, and equipment
Other assets:
Prepaid expenses 68,000
Total assets
Liabilities and Shareholders' Equity
Current liabilities:
Accounts payable 68,000
Interest payable 28,000
Deferred revenue 88,000
Income taxes payable 38,000
Notes payable (current) 48,000
Notes payable (current maturities of long-term debt) 21,000
Total current liabilities
Long-term liabilities:
Notes payable (long-term) 171,000
Total liabilities
Shareholders’ equity:
Common stock 408,000
Retained earnings 194,000
Total shareholders’ equity
Total liabilities and shareholders’ equity
152,000
778,000
218,000
$ 1,064,000
291,000
462,000
602,000
$ 1,064,000
F
F
F
F
F
F
F
F
2/7/2021 Assignment Print View
rev: 01_30_2020_QC_CS-195439, 04_20_2020_QC_CS-208783
Explanation:
Accounts receivable, net of allowance for uncollectible accounts of $24,000 = $152,000.
Common stock, no par value; 816,000 shares authorized; 408,000 shares issued and outstanding = $408,000.
Cash and cash equivalents:
Includes $38,000 in U.S. treasury bills.
Prepaid expenses:
Excludes $68,000 in prepaid rent for the second year on the building lease.
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