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Hwk due June 7th June 7th Kimmel, Accounting, 6e Help I S ES Exercise 2-5 These

ID: 2406712 • Letter: H

Question

Hwk due June 7th June 7th Kimmel, Accounting, 6e Help I S ES Exercise 2-5 These items are taken from the financial statements of Windsor, Inc. at December 31, 2017. Buildings Accounts receivable Prepaid insurance Cash $97,336 11,592 2,944 10,893 75,808 56,304 udy Equipment Land Insurance expense 718 Depreciation expense Interest expense Common stock Retained earnings (January 1, 2017) Accumulated depreciation-buildings Accounts payable Notes payable 4,876 2,392 55,200 36,801 41,952 8,740 86,112 17,222 3,312 13,524 Accumulated depreciation-equipment Interest payable Service revenue Prepare a classified balance sheet. Assume that $12,512 of the note payable will be paid in 2018. (List curr equipment in order of land, buildings and equipment.) Windsor, Inc Balance Sheet

Explanation / Answer

Windsor Inc

Balance Sheet

Assets

Current Assets

Cash

10,893

Accounts Receivables

11,592

Prepaid Insurance

2,944

25,429

Plant, Property, and Equipment

Buildings

97,336

Accumulated Dep-Building

(41,952)

55,384

Equipment

75,808

Accumulated Dep-Equip

(17,222)

58,586

Land

56,304

Total Assets

195,703

Liabilities & Shareholder’s Equity

Current Liabilities

Accounts Payables

8,740

Interest Payable

3,312

Note Payable

12,512

24,564

Long Term Liabilities

Note Payable

73,600

Total Liabilities

98,164

Shareholder Equity

Common Stock

55,200

Retained Earnings

42,339

97,539

Total Liabilities & Shareholder Equity

195,703

Net Income for the year = 13524 -2392 -4876 -718 = $5,538

Retained Earnings = Beginning Balance + Net Income for the year

= $36,801 + 5,538

= $42,339

Windsor Inc

Balance Sheet

Assets

Current Assets

Cash

10,893

Accounts Receivables

11,592

Prepaid Insurance

2,944

25,429

Plant, Property, and Equipment

Buildings

97,336

Accumulated Dep-Building

(41,952)

55,384

Equipment

75,808

Accumulated Dep-Equip

(17,222)

58,586

Land

56,304

Total Assets

195,703

Liabilities & Shareholder’s Equity

Current Liabilities

Accounts Payables

8,740

Interest Payable

3,312

Note Payable

12,512

24,564

Long Term Liabilities

Note Payable

73,600

Total Liabilities

98,164

Shareholder Equity

Common Stock

55,200

Retained Earnings

42,339

97,539

Total Liabilities & Shareholder Equity

195,703

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