Splish Company has decided to expand its operations. Thebookkeeper recently completed the balance sheet...

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Accounting

Splish Company has decided to expand its operations. Thebookkeeper recently completed the balance sheet presented below inorder to obtain additional funds for expansion.
SPLISH COMPANY
BALANCE SHEET
FOR THE YEAR ENDED 2017
Current assets
  Cash $241,000
  Accounts receivable (net) 351,000
  Inventory (lower-of-average-cost-or-market) 412,000
  Equity investments (marketable)-at cost (fair value$131,000) 151,000
Property, plant, and equipment
  Buildings (net) 581,000
  Equipment (net) 171,000
  Land held for future use 186,000
Intangible assets
  Goodwill 91,000
  Cash surrender value of life insurance 101,000
  Prepaid expenses 23,000
Current liabilities
  Accounts payable 146,000
  Notes payable (due next year) 136,000
  Pension obligation 93,000
  Rent payable 60,000
  Premium on bonds payable 64,000
Long-term liabilities
  Bonds payable 511,000
Stockholders’ equity
  Common stock, $1.00 par, authorized 400,000 shares,issued 301,000 301,000
  Additional paid-in capital 171,000
  Retained earnings ?

Prepare a revised balance sheet given the available information.Assume that the accumulated depreciation balance for the buildingsis $171,000 and for the equipment, $116,000. The allowance fordoubtful accounts has a balance of $28,000. The pension obligationis considered a long-term liability. (List CurrentAssets in order of liquidity. List Property, Plant and Equipment inorder of Buildings and Equipment. Enter account name only and donot provide the descriptive information provided in thequestion.)

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4.2 Ratings (770 Votes)

Balance Sheet
For the year Ended December 31, 2017
Assets
Current Assets
Cash	$241,000
Equity investments (marketable)	$131,000
Accounts Receivable	$379,000
Less: Allowance for doubtful accounts	-$28,000
Inventory (lower-of-average-cost-or-market)	$412,000
Prepaid expenses	$23,000
Total Current Assets		$1,158,000

Long-term investments
Land held for future use	$186,000
Cash surrender value of life insurance	$101,000	$287,000

Property, plant, and equipment
Building	$752,000
Acc. Depreciation - Building	-$171,000
Equipment	$287,000
Acc. Depreciation - Equipment	-$116,000
Total Property, plant, and equipment		$752,000

Intangible Assets
Goodwill		$91,000
Total Assets		$2,288,000

Liabilities and Stockholders’ Equity
Current Libilities
Accounts Payable	$146,000
Notes payable (due next year)	$136,000
Rent payable	$60,000
Total Current Liabilities	$342,000

Non -Current Libilities
Bonds payable	$511,000
Add: Premium on bonds payable	$64,000
Pension obligation	$93,000
Total Non -Current Libilities	$668,000
Total Liabilities		$1,010,000

Stockholders’ equity
Common stock, $1 par, authorized 400,000 shares, issued 301,000 shares	$301,000
	$301,000
Additional paid-in capital	$171,000
Retained earnings	$806,000
Total stockholders’ equity		$1,278,000
Total Liabilities and stockholders’ equity		$2,288,000

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Transcribed Image Text

In: AccountingSplish Company has decided to expand its operations. Thebookkeeper recently completed the balance sheet presented...Splish Company has decided to expand its operations. Thebookkeeper recently completed the balance sheet presented below inorder to obtain additional funds for expansion.SPLISH COMPANYBALANCE SHEETFOR THE YEAR ENDED 2017Current assets Cash$241,000 Accounts receivable (net)351,000 Inventory (lower-of-average-cost-or-market)412,000 Equity investments (marketable)-at cost (fair value$131,000)151,000Property, plant, and equipment Buildings (net)581,000 Equipment (net)171,000 Land held for future use186,000Intangible assets Goodwill91,000 Cash surrender value of life insurance101,000 Prepaid expenses23,000Current liabilities Accounts payable146,000 Notes payable (due next year)136,000 Pension obligation93,000 Rent payable60,000 Premium on bonds payable64,000Long-term liabilities Bonds payable511,000Stockholders’ equity Common stock, $1.00 par, authorized 400,000 shares,issued 301,000301,000 Additional paid-in capital171,000 Retained earnings?Prepare a revised balance sheet given the available information.Assume that the accumulated depreciation balance for the buildingsis $171,000 and for the equipment, $116,000. The allowance fordoubtful accounts has a balance of $28,000. The pension obligationis considered a long-term liability. (List CurrentAssets in order of liquidity. List Property, Plant and Equipment inorder of Buildings and Equipment. Enter account name only and donot provide the descriptive information provided in thequestion.)

SPLISH COMPANY BALANCE SHEET FOR THE YEAR ENDED 2017
Current assets
Cash		$241,000
Accounts receivable (net)		351,000
Inventory (lower-of-average-cost-or-market)		412,000
Equity investments (marketable)-at cost (fair value$131,000)		151,000
Property, plant, and equipment
Buildings (net)		581,000
Equipment (net)		171,000
Land held for future use		186,000
Intangible assets
Goodwill		91,000
Cash surrender value of life insurance		101,000
Prepaid expenses		23,000
Current liabilities
Accounts payable		146,000
Notes payable (due next year)		136,000
Pension obligation		93,000
Rent payable		60,000
Premium on bonds payable		64,000
Long-term liabilities
Bonds payable		511,000
Stockholders’ equity
Common stock, $1.00 par, authorized 400,000 shares,issued 301,000		301,000
Additional paid-in capital		171,000
Retained earnings		?