Using the information shown in the picture, prepare a classified balance sheet for Thompson Company as of December 31, 2019 that includes the following subcategories: Current assets, Investments, Property Plant & Equipment, Intangible assets, Current liabilities, Long-term liabilities and Owner’s Equity to answer the question that follows. Prepaid Rent200 Franchise3,600Cash400 Land4,000Marketable Securities800 Investment in Land Held for future use5,400Revenues Received in Advance800 Inventory6,000Accounts Receivable1,600 Notes Payable (in two years)8,000Accumulated Depreciation- Building 2,000 Building16,000Accounts Payable3,200 Jane Thompson, Capital24,000

Total assets = Total liabilities + Total stockholders equity/Owner;s equity

Prepaid Rent 200 Franchise 3,600 Cash 400 Land 4,000 Marketable Securities 800 Investment in Land Held for future use 5,400 Revenues Received in Advance 800 Inventory 6,000 Accounts Receivable 1,600 Notes Payable (in two years) 8,000 Accumulated Depreciation- Building 2,000 Building 16,000 Accounts Payable 3,200 Jane Thompson, Capital 24,000

Prepaid Rent 200 Franchise 3,600 Cash 400 Land 4,000 Marketable Securities 800 Investment in Land Held for future use 5,400 Revenues Received in Advance 800 Inventory 6,000 Accounts Receivable 1,600 Notes Payable (in two years) 8,000 Accumulated Depreciation- Building 2,000 Building 16,000 Accounts Payable 3,200 Jane Thompson, Capital 24,000

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter2: Basic Accounting Systems: Cash Basis

Section: Chapter Questions

Problem 6CDQ: Capstone Consulting Services acquired land 5 years ago for $200,000. Capstone recently signed an...

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