Reference no: EM131919454
Prepare a classified Balance Sheet, dated 12-31-16, for these 3 situations:
Situation 1
12-31-16 Assets:
Cash ..................................... 181,200
Accounts Rec. ................................ 274,000
Inventory ........................................ 189,000
Equipment, Net of Accum. Depr. ........ 473,500
12-31-16 Liabilities: Accounts Pay. ................................ 55,000
Short-Term Notes Payable ................. 95,200
Long-Term Notes Payable .............. ... 184,000
12-31-16 Equity:
Business is named Happy Productions and is owned solely by Harry Happy.
(You will have to determine the equity amount)
Situation 2
Business is named Aztec Partners and is owned by Judy Smith and Al Topp
Assets and Liabilities are the same as situation 1.
Equity-
Capital as of 1-1-16:
Judy .............................................. 189,000
Al, ............................................... 225,000
Capital Contributed in 2016:
Judy ............................................ -
Al ................................................ -
Drawings ,2016:
Judy ........................................... 62,400
Al ............................................... 93,100
Share of Profits , every year:
Judy .......................................... 0.25
Al ............................................ 0.75
Situation 3
Business is a corporation named Aztec, Inc.
Assets and Liabilities are the same as situation 1.
Equity- Paid in Capital(Common Stock) as of 12-31-16 is ................... 384,000
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