The Oregon Corporation has been operating for a number of years. On October 31, 2016 the accountant of the company disappeared, taking the records with him. You have been hired to reconstruct the accounting records, and with this in mind you assemble a list of all company assets. By checking with banks, counting the materials on hand, and investigating the ownership of buildings and equipment, you developed the following information as of October 31.
|
Account |
Balance |
|
Accounts Receivable |
$ 5 |
|
Buildings |
10 |
|
Cash |
2 |
|
Equipment |
5 |
|
Land |
200 |
|
Investment |
3 |
|
Investment* |
4 |
*These are shares in another corporation that will be held indefinitely.
Statements and unpaid invoices found in the office indicate that $30 is owed to trade creditors. There is a $10 mortgage outstanding, $4 of which is due by October 31, 2017. Interviews with the board of directors and a check of the share capital records indicate that there are 100 shares outstanding. Shareholders paid $100 in total to the corporation for these. No record is available regarding past retained earnings.
Required: Prepare a classified balance sheet at October 31, 2016.
- 1300 reads
