The following information is for Pronghorn Corporation as of December 31, 2017. Restricted Cash for Retirement of long- term debt $ 24,100 Additional Paid-in Capital $ 54,900 Equipment (cost) 113,000 Accounts Receivable 71,300 Inventory (work in process) 13,600 Inventory (raw materials) 61,500 Cash (unrestricted) 21,700 Supplies Expense 16,800 Inventory (finished goods) 33,000 Cost of Goods Sold 405,700 Equity Investments (cost) 9,500 Allowance for Doubtful Accounts 4,400 Customer Advances 11,800 Licenses 7,100 Unearned Service Revenue 36,800 Notes Receivable 17,600 Treasury Stock 12,300 The following additional information is available. 1. Inventories are valued at lower-of-cost-or-market using FIFO. 2. Treasury stock is recorded at cost. 3. Licenses are recorded net of accumulated amortization of $ 6,300. 4. Equipment is recorded at cost. Accumulated depreciation, computed on a straight-line basis, is $ 37,850. 5. The equity investments have a fair value of $ 9,100. (Assume they are trading securities.) 6. The allowance for doubtful accounts applies to the accounts receivable. 7. The notes receivable are due in full on March 31, 2019, with interest receivable every April 30. The notes bear interest at 9%. (Hint: Accrued interest due on December 31, 2017.) Prepare the current assets section of Pronghorn Corporation’s balance sheet with appropriate disclosures on the face of the balance sheet. (List Current Assets in order of liquidity. Enter account name only and do not provide the descriptive information.)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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The following information is for Pronghorn Corporation as of December 31, 2017.

Restricted Cash for Retirement of long- term debt	$ 24,100	Additional Paid-in Capital	$ 54,900
Equipment (cost)	113,000	Accounts Receivable	71,300
Inventory (work in process)	13,600	Inventory (raw materials)	61,500
Cash (unrestricted)	21,700	Supplies Expense	16,800
Inventory (finished goods)	33,000	Cost of Goods Sold	405,700
Equity Investments (cost)	9,500	Allowance for Doubtful Accounts	4,400
Customer Advances	11,800	Licenses	7,100
Unearned Service Revenue	36,800	Notes Receivable	17,600
		Treasury Stock	12,300

The following additional information is available.

1.		Inventories are valued at lower-of-cost-or-market using FIFO.
2.		Treasury stock is recorded at cost.
3.		Licenses are recorded net of accumulated amortization of $ 6,300.
4.		Equipment is recorded at cost. Accumulated depreciation, computed on a straight-line basis, is $ 37,850.
5.		The equity investments have a fair value of $ 9,100. (Assume they are trading securities.)
6.		The allowance for doubtful accounts applies to the accounts receivable.
7.		The notes receivable are due in full on March 31, 2019, with interest receivable every April 30. The notes bear interest at 9%. (Hint: Accrued interest due on December 31, 2017.)

Prepare the current assets section of Pronghorn Corporation’s balance sheet with appropriate disclosures on the face of the balance sheet. (List Current Assets in order of liquidity. Enter account name only and do not provide the descriptive information.)