Download - Classified Balance Sheet
Classified Balance SheetHas the data grouped according to major categories
We have already been introduced to the report form of the balance sheet. It is when the information is presented in a one-above-the-other, or vertical, format.
Major CategoriesAssets:
Current assets- unrestricted cash, an asset that will be converted into cash within one year, or an asset that will be used up within one yearExamples: Bank, Accounts
Receivable
Fixed assets- a long-term asset held for its usefulness in producing goods or services. Same as Plant and Equipment
LiabilitiesCurrent liability- a short-term debt, payment of which is expected to occur within one yearExamples: Bank Loan,
Accounts Payable
Long-term liability- a liability which, in the ordinary course of business, will not be paid within one yearExample: Mortgage
Payment
Assets
Current Assets
Bank $ 1,750
Accounts Receivable 35,879
Supplies 1,350 $ 38,979
Fixed Assets
Building $ 55,000
Equipment 15,070
Automobile 33,350
Land (least liquid) 40,000 143,420
Total Assets $ 182,399
Liabilites and Owner's Equity
Current Liabilities
Bank Loan $ 25,000
Accounts Payable 9,088
HST Payable (add PST payable) $ 1,393
Less HST Recoverable 279 1,114
Mortage Instalment (current) 850 $ 36,052
Long-Term Liability Mortgage Payment 80,000
Total Liabilities $ 116,052
J. Otto, Capital
Balance January 1 $ 50,287
Net Income $ 38,560
Drawings 22,500
Increase in Equity 16,060
Balance December 31 66,347
Total Liabilites and Owner's Equity $ 182,399
Peoples’ Security Company
Classified Balance Sheet
December 31, 2011
Heading
Assets < 1 year (very liquid)
Assets > 1 year
Debts to be paid within 1 year (short term)
Debts > 1 year
Net Income > Drawings
Global LogisticsClassified Balance SheetDecember 31, 20-4
AssetsCurrent Assets Bank $ 3,457.15 Accounts Receivable 19,402.50 Supplies 1,240.00 Total Current Assets $ 24,099.65 Fixed Assets Equipment 20,400.00 Automobiles 32,936.57 Total fixed assets 53,336.57 Total Assets $ 77,436.22
Liabilities and Owner's EquityCurrent Liabilities Bank Loan $ 10,000.00 Accounts Payable 5,296.10 HST Payable $ 1,198.83 Less: HST Recoverable 351.12 Remittance 847.71 Total Liabilities $ 16,143.81 R. Tessier, CapitalBeginning Capital $ 49,713.40 Net Income $ 35,579.01 R. Tessier, Drawings 24,000.00 Increase in Capital 11,579.01 Ending Capital 61,292.41 Total Liabilities and Owner's Equity $ 77,436.22
For tomorrow:Complete Exercise #1, 2 p. 276 (t), p.192-193 (w)
Start exercise #2 ‘Ying Lo’ p. 292 (t) p. 202-204 (w) * Check posted answers on board