Question

Dawson Company's balance sheet information at the end of 2016 and 2017 is as follows:

	2016	2017
Current assets	$ (a)	$25,000
Long-term liabilities	(b)	34,900
Total contributed capital	(c)	(g)
Long-term investments	19,200	(h)
Retained earnings	50,300	58,100
Total liabilities	(d)	(i)
Intangible assets	10,400	9,000
Current liabilities	14,500	13,000
Common stock, $5 par	(e)	20,000
Total assets	141,800	(j)
Additional paid-in capital	15,000	(k)
Property, plant, and equipment (net)	85,700	92,800
Accumulated other comprehensive income	7,000	8,000
Total shareholders' equity	(f)	(l)

Additional information: The company did not issue any common stock during 2017.

Required:

Prepare the correct balance sheet. All the necessary information is provided. (Hint: It is not necessary to calculate your answers in alphabetical order.)

DAWSON COMPANY
Balance Sheet
December 31
	2016	2017
Assets
	$	$
	$	$
Liabilities
	$	$
	$	$
Shareholders’ Equity
	$	$
	$	$
	$	$
	$	$

Answer 1

Solution:-

DAWSON COMPANY
Balance Sheet
December 31
	2016	2017
Current assets	26,500	25,000
Long-term investments	19,200	22,200
Property, plant, and equipment (net)	85,700	92,800
Intangible assets	10,400	9,000
Total assets	141,800	149,000
Current liabilities	14,500	13,000
Long-term liabilities	35,000	34,900
Total liabilities	49,500	47,900
Capital stock, $5 par	20,000	20,000
Additional paid-in capital	15,000	15,000
Total contributed capital	35,000	35,000
Retained earnings	50,300	58,100
Accumulated other comprehensive income	7,000	8,000
Total stockholders' equity	92,300	101,100
Total liabilities & stockholders' equity	141,800	149,000