Preparation of Balance Sheet
Prepare the Balance Sheet as of December

question 132

Essay

Preparation of balance sheet
Prepare the balance sheet as of December 31, 2009, for Gamma Company, from the following list of items which are arranged in random order. You must compute the amount for accounts payable to complete the balance sheet.
$\begin{array}{|l|r|l|l|r|}\hline \text { Accounts payable } & \$ ? & & \text { Land } & \$ 260,000 \\\hline \text { Office equipment } & \$ 41,600 & & \text { Notes payable } & \$ 377,000 \\\hline \text { Buildings } & \$ 533,000 & & \text { Accounts receivable } & \$ 97,500 \\\hline \text { Capital stock } & \$ 494,000 & & \text { Cash } & \$ 19,760 \\\hline & & & & \\\hline\end{array}$

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Definitions:

Explanatory Style

A psychological attribute that indicates how people explain to themselves why they experience particular events, either positive or negative.

Valid Concern

Any issue or problem that is grounded in reality and deemed legitimate or reasonable to worry about or consider.

Disaster Component

A critical aspect or feature of a disaster, including elements that contribute to the severity and impact of the disaster.

Business Recessions

Economic periods characterized by a significant decline in general economic activity in a designated region, typically evident in GDP, real income, employment, industrial production, and wholesale-retail sales.