Question - The following year-end adjusted trial balance is for Tom Janes Co. at the end of December 31. The credit balance in Tom Janes, Capital at the beginning of the year, January 1, was $320,000. The owner, Tom Janes, invested an additional $300,000 during the current year. The land held for future expansion was also purchased during the current year.
Cash $90,000
Accounts receivable $18,000
Prepaid Insurance $ 6,000
Office supplies $ 2,000
Investment in stocks $150,000
Land Held for future expansion $300,000
Office Equipment $ 18,000
Accumulated depreciation-Equipment $4,000
Building $350,000
Accumulated depreciation $170,000
Land $250,000
Intangible assets- $ 50,000
licensing agreement
Accounts payable $17,800
Salaries payable $ 8,500
Interest payable $ 7,900
Long-term note payable $224,000
Tom James, Capital $620,000
Tom James, Withdrawals $60,000
Service fees earned $470,800
Salaries expense $180,000
Insurance expense $12,000
Rent expense $25,000
Depreciation expense-Equip. $ 2,000
Depreciation expense-Building $10,000
Totals $1,523,000 $1,523,000
Required:
Prepare a classified year-end balance sheet. (Note: A $22,000 installment on the long-term note payable is due within one year.)