Sections for long-term assets


Problem:

Given the following account information from Lamar Corporation's December 31, 2014 adjusted trial balance, answer the following. All accounts have a normal balance.

AR

102,000

Accum Dep - bldg 15,000
Accum Dep - equip 10,000
Advertising Expense

1,560

Allowance for doubtful accts 2,000
bonds payable 78,000
buildings 80,400
cash 45,000
common stock 70,000
depreciation expense 8,000
discount on bonds payable 2,000
dividends 50,400
equipment 60,000
income taxes payable 3,000
interest expense 2,400
interest payable 600
investments (trading) 5,000
investments (long-term) 5,000
land 132,320
notes payable (due in 6 months) 27,400
retained earnings 3,000
salaries and wages expense 53,040
salaries and wages payable 900
service revenue 341,400
supplies 1,860
treasury stock 1,000
utilities expense 1,320

Required:

Question 1: Prepare the heading for Lamar's balance sheet

Question 2: What amount of current assets should Lamar report on its December 31, 2014 balance sheet?

Question 3: Prepare the necessary sections for long-term assets for Lamar's December 31, 2014 balance sheet.

Question 4: What is the total amount of assets that Lamar should report on its December 31, 2014 balance sheet?

Question 5: What amount of current liabilities should Lamar report on its December 31, 2014 balance sheet?

Question 6: What amount long-term liabilities should Lamar report on its December 31, 2014 balance sheet?

Question 7: Prepare the stockholders' equity section for Lamar's December 31, 2014 balance sheet.

Note: Be sure to show how you arrived at your answer.

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Accounting Basics: Sections for long-term assets
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