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Balance Sheet Optimum Weight Loss Co. offers personal weight reduction consultin

ID: 2333181 • Letter: B

Question

Balance Sheet Optimum Weight Loss Co. offers personal weight reduction consulting services to individuals. After all the accounts have been closed on November 30, 2019, the end of the fiscal year, the balances of selected accounts from the ledger of Optimum Weight Loss Co. are as follows: Accounts Payable $37,700 Accounts Receivable 116,750 Accumulated Depreciation - Equipment 186,400 Cash ? Equipment 474,150 Land 300,000 Prepaid Insurance 7,200 Prepaid Rent 21,000 Salaries Payable 9,000 Cheryl Viers, Capital 710,300 Supplies 4,800 Unearned Fees 18,000 Prepare a classified balance sheet that includes the correct balance for Cash. Optimum Weight Loss Co. Balance Sheet November 30, 2019 Assets Current assets: Cash $ Accounts receivable Supplies Prepaid insurance Prepaid rent Total current assets $ Property, plant, and equipment: Land $ Equipment $ Less accumulated depreciation Total property, plant, and equipment Total assets $ Liabilities Current liabilities: $ Total liabilities $ Owner's Equity Total liabilities and owner's equity $

Explanation / Answer

Answer

Balance Sheet

Nov 30, 2019

ASSETS

Current Assets:

Cash

[to be calculated]

Accounts receivables

$                                 116,750.00

Supplies

$                                     4,800.00

Prepaid Insurance

$                                     7,200.00

Prepaid Rent

$                                   21,000.00

Total Current Assets

$                149,750.00

Property Plant & Equipment:

Land

$                300,000.00

Equipment

$                                 474,150.00

Less: Accumulated Depreciation

$                                 186,400.00

$                287,750.00

Total Property Plant Equipment

$                587,750.00

Total Assets

$                737,500.00

LIABILITIES

Current Liabilities:

Accounts Payable

$                  37,700.00

Salaries payable

$                     9,000.00

Unearned Fees

$                  18,000.00

Total Liabilities

$                  64,700.00

OWNER's EQUITY

Cheryl Viers Capital

$                710,300.00

Total Liabilities & Owner's Equity

$                775,000.00

Balance Sheet

Nov 30, 2019

ASSETS

Current Assets:

Cash

$                                   37,500.00

Accounts receivables

$                                 116,750.00

Supplies

$                                     4,800.00

Prepaid Insurance

$                                     7,200.00

Prepaid Rent

$                                   21,000.00

Total Current Assets

$                187,250.00

Property Plant & Equipment:

Land

$                300,000.00

Equipment

$                                 474,150.00

Less: Accumulated Depreciation

$                                 186,400.00

$                287,750.00

Total Property Plant Equipment

$                587,750.00

Total Assets

$                775,000.00

LIABILITIES

Current Liabilities:

Accounts Payable

$                  37,700.00

Salaries payable

$                     9,000.00

Unearned Fees

$                  18,000.00

Total Liabilities

$                  64,700.00

OWNER's EQUITY

Cheryl Viers Capital

$                710,300.00

Total Liabilities & Owner's Equity

$                775,000.00

Balance Sheet

Nov 30, 2019

ASSETS

Current Assets:

Cash

[to be calculated]

Accounts receivables

$                                 116,750.00

Supplies

$                                     4,800.00

Prepaid Insurance

$                                     7,200.00

Prepaid Rent

$                                   21,000.00

Total Current Assets

$                149,750.00

Property Plant & Equipment:

Land

$                300,000.00

Equipment

$                                 474,150.00

Less: Accumulated Depreciation

$                                 186,400.00

$                287,750.00

Total Property Plant Equipment

$                587,750.00

Total Assets

$                737,500.00

LIABILITIES

Current Liabilities:

Accounts Payable

$                  37,700.00

Salaries payable

$                     9,000.00

Unearned Fees

$                  18,000.00

Total Liabilities

$                  64,700.00

OWNER's EQUITY

Cheryl Viers Capital

$                710,300.00

Total Liabilities & Owner's Equity

$                775,000.00

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