Prepare a classified balance sheet for tricam engineering

Question

1. The following are the common classifications used in a balance sheet:
2. Current assets F. Current liabilities
3. Investments G. Long-term liabilities
4. Property, plant and equipment H. Paid-in-capital
5. Intangible assets I. Retained earnings
6. Other assets

Required:

For each of the following balance sheet items, use the letters above to indicate the appropriate classification category. If the item is a contra account or valuation account, place a minus sign before the chosen letter.

1. ­­­___ Note receivable (due in 2 years)
2. ___ Accounts receivable
3. ­­___­ Accumulated depreciation
4. ­­___Land, in use
5. ___Note payable (due in 10 months)
6. ___Interest payable
7. ­­­___ Note receivable (due in 6 months)
8. ___Cash equivalents
9. ­­­___ Investment in XYZ Corp ( long-term)
10. ___ Inventories
11. ___Goodwill
12. ­­­___Accrued salaries payable
13. ___Accrued interest payable
14. ___Prepaid insurance
15. ___Common stock
16. ___Equipment
17. ___Unearned revenue
18. ___Warranties payable
19. The following are common disclosures that would appear in the notes accompanying financial statements. For each of the items listed, indicate where the disclosure would likely appear.

Use A if the item would appear in summary of significant accounting policies notes

Use B if the item would appear in subsequent events notes

Use C if the item would appear in noteworthy events and transactions

1. Depreciation method _

2. Information on related party transactions _____

3. Method of accounting for acquisitions _____

4. Composition and details of long-term debt _____

5. Inventory method _____

6. Basis of revenue recognition _____

7. Major damage to a plant facility occurring after year-end _____

8. Composition of accrued liabilities _____

1. The December 31, 2013 post-closing trial balance for Tricam Engineering, an exploration company, is presented below.

 

Account Title	Debits	Credits
Cash ............................................................	52,000
Accounts receivable .....................................	223,000
Allowance for uncollectible accounts .............	15,000
Inventories ...................................................	200,000
Supplies ......................................................	3,000
Investments .................................................	140,000
Land ............................................................	100,000
Buildings .....................................................	500,000
Accumulated depreciation - buildings ............	150,000
Machinery ....................................................	250,000
Accumulated depreciation - machinery ...........	80,000
Goodwill ......................................................	36,000
Accounts payable ........................................	125,000
Bonds payable .............................................	500,000
Interest payable ............................................	40,000
Common stock ............................................	500,000
Retained earnings .........................................	______	94,000
Totals	1,504,000	1,504,000

Additional information provided is below:

1. Accounts receivable includes a $50,000 note receivable received from a customer that is due in 2015. Also included is interest on the note of $3,000 that is due in six months.
2. The land account includes land that cost $20,000 that the company has not used and is currently listed for sale.

3. The investment account includes a $10,000, 3-month certificate of deposit due in 40 days. The remaining investments will be sold within the next year.

4. The bonds payable account consists of the following:

a. a $200,000 issue due in six months.

b. a $300,000 issue due in six years.

5. The common stock account represents 500,000 shares of no par value common stock issued and outstanding. The corporation has 1,000,000 shares authorized.

Required:

Prepare a classified balance sheet for Tricam Engineering at December 31, 2013 using the post-closing trial balance and the additional information provided.