Balance Sheet : The Balance sheet is a summary of Assets, Liabilities and equity accounts that reports the financial position of the business as on a specific date. Assets are further classifies into Current Assets, Long Term Investments, Plant Assets and Intangible assets. And Liabilities are further classified into Current Liabilities and Long term liabilities. To Indicate: The classified balance sheet category for each of the item given.

Question

Enrichment Activity 3-1 Statement of FInancial Position Using the following accounts, prepapre a classified balance sheet (report format) at year end, June 30, 2021: Accounts Payable, P80,000 Accounts Receivable, P110,000; Accumulated Depreciation-Equipment, P70,000 Cash, P20,000; Owner’s Withdrawal, P30,000 Equipment, P300,000; Franchise, P20,000; Long Term Investments P40,000 Owner’s Capital, P___; Wages Payable, P10,000. Assume that it is the entity’s first year of operations. Assume also the business name and its owner.

Answer 1

Question

Chapter 3, Problem 35BE

To determine

Concept Introduction:

Balance Sheet: The Balance sheet is a summary of Assets, Liabilities and equity accounts that reports the financial position of the business as on a specific date. Assets are further classifies into Current Assets, Long Term Investments, Plant Assets and Intangible assets. And Liabilities are further classified into Current Liabilities and Long term liabilities.

To Indicate:

The classified balance sheet category for each of the item given.

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Enrichment Activity 3-1 Statement of FInancial Position Using the following accounts, prepapre a classified balance sheet (report format) at year end, June 30, 2021: Accounts Payable, P80,000 Accounts Receivable, P110,000; Accumulated Depreciation-Equipment, P70,000 Cash, P20,000; Owner’s Withdrawal, P30,000 Equipment, P300,000; Franchise, P20,000; Long Term Investments P40,000 Owner’s Capital, P___; Wages Payable, P10,000. Assume that it is the entity’s first year of operations. Assume also the business name and its owner.

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