
FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Question
Jerry Tasch’s will has the following provisions:
- $150,000 in cash goes to Thomas Thorne.
- All shares of Coca-Cola go to Cindy Phillips.
- Residence goes to Kevin Simmons.
- All other estate assets are to be liquidated with the resulting cash going to the First Church of Freedom, Missouri.
Prepare
- Discovered the following assets (at fair value):
- Collected interest of $7,000.
- Paid funeral expenses of $20,000.
- Discovered debts of $40,000.
- Located an additional savings account of $12,000.
- Conveyed title to the residence to Kevin Simmons.
- Collected life insurance policy.
- Discovered additional debts of $60,000. Paid debts totaling $100,000.
- Conveyed cash of $150,000 to appropriate beneficiary.
- Sold the shares of Polaroid for $112,000.
- Paid administrative expenses of $10,000.

Transcribed Image Text:$ 80,000
Cash.....
Interest receivable....
Life insurance policy
300,000
200,000
50,000
110,000
Residence...
Shares of Coca-Cola Company
Shares of Polaroid Corporation ....
Shares of Ford Motor Company.
140,000
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