[rosa21]

An alphabetical list of the adjusted account balances (all accounts have normal balances) at August 31, 2011, for Alpine Bowling Lanes is as follows:


Accounts payable $ 12,300 Interest expense $ 4,800

Accounts receivable 10,780 Interest payable 400

Accumulated depreciation—building 30,900 Investment in bonds 10,000

Accumulated depreciation—equipment 24,960 Land 64,000

Depreciation expense 9,300 Mortgage payable 99,780

Bowling revenues 35,900 Prepaid insurance 4,590

Building 128,800 Supplies 740


Prepare an income statement and statement of owner's equity for the year ended August 31, 2011, and a classified balance sheet at August 31, 2011. Assume the following: (1) $12,750 of the mortgage payable will be paid before August 31, 2012; and (2) the company intends to keep its investment in bonds until the bonds mature in 2020.


(If you select Loss, do not enter amount as a negative number.)

Bowling revenue $ 35,900

Total expenses 14970

Profit or loss +20930
( i dont know how to calculate the capital, can anyone help me)
T. Williams, capital, August 31, 2011

Total current assets

Total assets

Total current liabilities

Total liabilities

Total liabilities and owner's equity


Calculate working capital, the current ratio, and the acid-test ratio. Round ratios to two decimal places.

Working capital $
Current ratio :1
Acid-test ratio :1





Cash 17,940 T. Williams, capital 125,000

Equipment 62,400 T. Williams, drawings 16,000

Insurance expense 870 Unearned bowling revenue 980

[pready]

Total capital is equal to Assets minus Liabilities.

[rosa21]

I don't get it. Is the capital $12,750 or Investment in bonds 10,000?

[rosa21]

What I know is
Add:investment $12,750
Profit 20930 33680
Drawing 16,000
Capital 17680

I don't know if these is right
Sorry I didn't put drawing in the top

[rosa21]

Sorry about these I didn't add a few things in theseCash 17,940 T. Williams, capital 125,000

Equipment 62,400 T. Williams, drawings 16,000
Insurance expense 870 Unearned bowling revenue 980