Answer:
Jackson Corporation
Balance sheet as at December 31, 2016
Assets
Non-Current Assets
Machinery 145,000
Accumulated depreciation—machinery (11,000) 134,000
Patent (net of amortization) 83,000
Total Non-Current Assets 217,000
Current Assets
Accounts receivable 34,000
Inventories 75,000
Prepaid rent 16,000
Marketable securities (short term) 10,000
Cash 40,000
Total Current Assets 175,000
Total Assets 392,000
Equity and Liabilities
Equity
Common stock 100,000
Retained earnings 48,000
Total Equity 148,000
Liabilities
Non Current Liabilities
Bonds payable (due in 10 years) 200,000
Total Non-current liabilities 200,000
Current Liabilities
Accounts payable 8,000
Wages payable 4,000
Taxes payable 32,000
Total Current Liabilities 44,000
Total Equity and Liabilities 392,000
Explanation:
A Balance Sheet is a list of Balances Assets, Equity and Liabilities as at the end of the Financial Period. This is prepared in terms of IAS 1 as part of the set of Financial Statements.
