Please help me in preparing a balance sheet using the data provided below.Prepare a 2009 balance sheet for Bertinelli Corp. based on the following information: cash = $195,000; patents and...

Please help me in preparing a balance sheet using the data provided below.

Prepare a 2009 balance sheet for Bertinelli Corp. based on the following information: cash = $195,000; patents and copy-rights = $780,000; accounts payable = $405,000; accounts receivable = $137,000; tangible net fixed assets = $2,800,000; inventory = $264,000; notes payable = $160,000; accumulated retained earnings = $1,934,000; long-term debt = $1,195,300.

 

Asked on by dioson

1 Answer | Add Yours

boblawrence's profile pic

boblawrence | (Level 1) Associate Educator

Posted on

Here are basic instructions and outline for a standard balance sheet:

The balance sheet is prepared with data from the prior year’s balance sheet plus the current income statement.  The income statement is usually presented with the balance sheet.

The sheet is prepared with Assets on the left side, Liabilities on the right.

On the assets side list all assets owned or owed to company.  On the liability side list all debts, obligations and claims payable (usually in then next 12 months or next accounting period).

Total Liabilities plus Net Worth must match the Total Assets.

Here is an outline for a standard balance sheet:

Assets                                                                        Liabilities

Current Assets                                                Current Liabilities

Cash                                                                        Accounts payable

Accounts Receivable                                    Notes payable

Inventory                                                            Interest payable

Short term investments                                    Taxes payable

Fixed Assets                                                            Long-Term Liabilities

Land                                                                        Notes payable

Buildings                                                            Long-term debt

Improvements

Equipment

Furniture

Automobiles/vehicles

Other

Accumulated net earnings

Patents and copyrights

Total Assets: _____________________                        Total Liabilities: __________________

Net Worth: _________________________

Here is how your balance sheet would look with the data you provided:

Assets                                                                        Liabilities

Current Assets                                                Current Liabilities

Cash                        195,000.00                                    Accounts Payable:            160,000.00

Accounts Rc.   137,000.00                        Long-Term Liabilities

Inventory            264,000.00                                    Notes payable            160,000.00

Fixed Assets                                     2,800,000.00                                    Long-Term Debt            1,195,300.00

Other Assets

Patents

Cpyrts.            780,000.00

Accum. Ret

Earnings            1,934,000.00

Total Assets:                        6,110,000.00                        Total Liabilities:                        1,515,300.00

Net Worth:                        4,594,700.00

We’ve answered 318,994 questions. We can answer yours, too.

Ask a question