XYZ Company Balance Sheet December 31, 20X2 Dec. 31, 20X2 Dec. 31, 20X1 Inc./Dec. Cash 25,000 22,000 3,000 Accounts Receivable 30,000 10,000 20,000 Inventories 23,000 19,000 4,000 Investments 15,000 40,000 (25,000) Land 60,000 60,000 Equipment 88,000 54,000 34,000 Accumulated depreciation-- Equipment (8,000) (5,000) 3,000 233,000 140,000 Accounts payable 16,000 18,000 (2,000) Accrued expenses 20,000 3,000 17,000 Dividends payable 25,000 14,000 11,000 Common stock 120,000 80,000 40,000 Paid-in capital in excess of par 20,000 15,000 5,000 Retained earnings 32,000 10,000 22,000 233,000 140,000 a. The investments were sold for $24,000 cash. b. Equipment and land were acquired for cash. c. There were no disposals of equipment during the year. d. The common stock was issued for cash. e. There was a $50,000 credit to Retained Earnings for net income. f. There was a $28,000 debit to Retained Earnings for cash dividends declared.
XYZ Company Balance Sheet December 31, 20X2 Dec. 31, 20X2 Dec. 31, 20X1 Inc./Dec. Cash 25,000 22,000 3,000 Accounts Receivable 30,000 10,000 20,000 Inventories 23,000 19,000 4,000 Investments 15,000 40,000 (25,000) Land 60,000 60,000 Equipment 88,000 54,000 34,000 Accumulated depreciation-- Equipment (8,000) (5,000) 3,000 233,000 140,000 Accounts payable 16,000 18,000 (2,000) Accrued expenses 20,000 3,000 17,000 Dividends payable 25,000 14,000 11,000 Common stock 120,000 80,000 40,000 Paid-in capital in excess of par 20,000 15,000 5,000 Retained earnings 32,000 10,000 22,000 233,000 140,000 a. The investments were sold for $24,000 cash. b. Equipment and land were acquired for cash. c. There were no disposals of equipment during the year. d. The common stock was issued for cash. e. There was a $50,000 credit to Retained Earnings for net income. f. There was a $28,000 debit to Retained Earnings for cash dividends declared.
Financial & Managerial Accounting
13th Edition
ISBN:9781285866307
Author:Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:Carl Warren, James M. Reeve, Jonathan Duchac
Chapter10: Current Liabilities And Payroll
Section: Chapter Questions
Problem 10.23EX
Related questions
Question
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 2 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Financial & Managerial Accounting
Accounting
ISBN:
9781285866307
Author:
Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Financial & Managerial Accounting
Accounting
ISBN:
9781285866307
Author:
Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:
Cengage Learning