The following is the balance sheet of Korver Supply Company at December 31, 2012. KORVER SUPPLY COMPANY Balance Sheet At December 31, 2012 Assets Cash $ 140,000 Accounts receivable 280,000 Inventories 230,000 Furniture and fixtures, net 160,000 Total assets $ 810,000 Liabilities and shareholders' equity Accounts payable (for merchandise) $ 230,000 Note payable 240,000 Interest payable 6,000 Common stock 130,000 Retained earnings 204,000 Total liabilities and shareholders' equity $ 810,000 Transactions during 2013 were as follows: 1. Sales to customers on account $ 890,000 2. Cash collected from customers 870,000 3. Purchase of merchandise on account 580,000 4. Cash payment to suppliers 590,000 5. Cost of merchandise sold 530,000 6. Cash paid for operating expenses 250,000 7. Cash paid for interest on note 12,000 The note payable is dated June 30, 2012 and is due on June 30, 2014. Interest at 5% is payable annually on June 30. Depreciation on the furniture and fixtures for the year is $29,000. The furniture and fixtures originally cost $390,000. Required: Prepare a classified balance sheet at December 31, 2013 (ignore income taxes).

The following is the balance sheet of Korver Supply Company at December 31, 2012. KORVER SUPPLY COMPANY Balance Sheet At December 31, 2012 Assets Cash $ 140,000 Accounts receivable 280,000 Inventories...

The following is the balance sheet of Korver Supply Company at December 31, 2012.

KORVER SUPPLY COMPANY
Balance Sheet
At December 31, 2012
Assets
Cash	$	140,000
Accounts receivable	280,000
Inventories	230,000
Furniture and fixtures, net	160,000

Total assets	$	810,000

Liabilities and shareholders' equity
Accounts payable (for merchandise)	$	230,000
Note payable	240,000
Interest payable	6,000
Common stock	130,000
Retained earnings	204,000

Total liabilities and shareholders' equity	$	810,000

Transactions during 2013 were as follows:


1.	Sales to customers on account	$	890,000
2.	Cash collected from customers	870,000
3.	Purchase of merchandise on account	580,000
4.	Cash payment to suppliers	590,000
5.	Cost of merchandise sold	530,000
6.	Cash paid for operating expenses	250,000
7.	Cash paid for interest on note	12,000

The note payable is dated June 30, 2012 and is due on June 30, 2014. Interest at 5% is payable annually on June 30. Depreciation on the furniture and fixtures for the year is $29,000. The furniture and fixtures originally cost $390,000.

Required:

Prepare a classified balance sheet at December 31, 2013 (ignore income taxes).

Nov 11, 2021

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The following is the balance sheet of Korver Supply Company at December 31, 2012. KORVER SUPPLY COMPANY Balance Sheet At December 31, 2012 Assets Cash $ 140,000 Accounts receivable 280,000 Inventories...

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