80.2K

Verified Solution

Link Copied!

help!

The following are the ending balances of accounts at December 31, 2024, for the Valiey Pump Corporation. Additional Information: 1. The $120,000 balance in the land account consists of $100,000 for the cost of land where the plant and office buildings are located. The remaining $20,000 represents the cost of land being held for speculation. 2. The $44,000 balance in the investment in equity securities account represents an investment in the common stock of another corporation. Valley intends to sell one-half of the stock within the next year. 3. The notes payable account consists of a $100,000 note due in six months and a $150,000 note due in three annual installiments of $50.000 each, with the first poyment due in August of 2025 Required: Prepare a classified balance sheet for the Valley Pump Corporation at December 31, 2024. Use the additionat information to help determine appropriate classifications and account bolances. Note: Amounts to be deducted should be indicated by a minus sign. VALLEY PUMP CORPORATION Balance Sheet At December 31, 2024 Assets Current assets: \begin{tabular}{|l|} \hline Cash \\ \hline Accounts receivable \\ \hline Allowance for uncollectible accounts \\ \hline Inventory \\ \hline Investment in equity securities \\ \hline Prepaid expenses \\ \hline \end{tabular} Total current assets \begin{tabular}{|r|} \hline$25,000 \\ \hline 56,000 \\ \hline(5,000) \\ \hline 81,000 \\ \hline 22,000 \\ \hline 32,000 \\ \hline 211.000 \\ \hline \end{tabular} Investments: \begin{tabular}{|l|r|} \hline Investment in equity securities & $22,000 \\ \hline Land & 20,000 \\ \hline & \\ \hline Total investments & \\ \hline \end{tabular} Property, plant, and equipment: \begin{tabular}{|l|r|} \hline Land & 100,000 \\ \hline Buildings & 300,000 \\ \hline Equipment & 75,000 \\ \hline & \\ \hline & \\ \hline Less: Accumulated depreciation - buildings & (100,000) \\ \hline Less: Accumulated depreciation - equipment & (25,000) \\ \hline Net property, plant, and equipment & \\ \hline Intangible assets: & \\ \hline Copvrioht (net) & \\ \hline \end{tabular}

Answer & Explanation Solved by verified expert

See Answer