76
E3–22
E3–23
E3–24
Adjustment Account Increase or Decrease Amount
77
E3–25
E3–26
E3–27
78
E3–28
POUNDS-AWAY SERVICES CO.
Balance Sheet
November 30, 20Y9
Assets
Current assets:
Stockholders’ Equity
79
E3–29
LA-Z-BOY INC.
Balance Sheet
April 25
(in thousands)
Assets
Current assets:
Liabilities
Current liabilities:
Stockholders’ Equity
Total liabilities and stockholders’ equity ………………………. $ 774,604
80
E3–30
81
E3–30, Concluded
A corrected balance sheet would be as follows:
ATLAS SERVICES CO.
Balance Sheet
May 31, 20Y5
Assets
Current assets:
Liabilities
82
PROBLEMS
P3–1
Financial Statement Effects
Balance
Assets
Accts. Prepaid Acc.
Cash +Rec. +Insurance +Supplies + Building –Depr. +
Balances, Jan. 1 20,000 44,500 700 1,200 150,000 (11,200)
Statement of Cash Flows
83
P3–1, Concluded
Sheet
= Liabilities +Stockholders’ Equity
Accts. Unearned Wages Notes Common Retained
+ Land = Payable + Revenue +Payable +Payable +Stock + Earnings
120,000 7,700 0 0 30,000 50,000 237,500
27,000
84
P3–2
Financial Statement Effects
Balance
Assets
Accts. Prepaid Acc.
Cash +Rec. +Insurance +Supplies + Building – Depr. +
Balances 37,000 64,500 6,700 3,000 150,000 (11,200)
Adjustments
85
P3–2, Concluded
Sheet
= Liabilities +Stockholders’ Equity
Accts. Unearned Wages Notes Common Retained
+ Land = Payable + Revenue +Payable +Payable +Stock + Earnings
120,000 4,500 27,000 0 30,000 60,000 248,500