Assignment
Presented below is a partial trial balance for the Messenger Corporation at December 31, 2013.
|
Cash and Cash equivalents
|
30,000
|
|
|
Accounts receivable
|
195,000
|
|
|
Raw materials inventory
|
36,000
|
|
|
Note Receivable
|
120,000
|
|
|
Interest Receivable
|
4,000
|
|
|
Interest Payable
|
|
7,000
|
|
Marketable securities
|
48,000
|
|
|
Land
|
100,000
|
|
|
Buildings
|
1,500,000
|
|
|
Accumulated Depreciation- buildings
|
|
740,000
|
|
Work in process inventory
|
38,000
|
|
|
Finished goods inventory
|
98,000
|
|
|
Equipment
|
400,000
|
|
|
Accumulated Depreciation - equipment
|
|
230,000
|
|
Franchise (net of amortization)
|
120,000
|
|
|
Prepaid Insurance (for the next year)
|
60,000
|
|
|
Unearned Revenue
|
|
48,000
|
|
Accounts Payable
|
|
240,000
|
|
Note Payable
|
|
500,000
|
|
Salaries Payable
|
|
6,000
|
|
Cash Restricted for payment of note payable
|
100,000
|
|
|
Allowance for uncollected accounts
|
|
24,000
|
|
Sales Revenue
|
|
900,000
|
|
Cost of Goods Sold
|
500,000
|
|
|
Salaries Expense
|
48,000
|
|
Additionalinformation:
1. The note receivable, along with any accrued interest, is due on November 1, 2014.
2. The note payable is due in 2018. Interest is payable annually.
3. The marketable securities consist of equity securities of other corporations. Management does not intend to sell any of the securities in the next year.
4. Unearned revenue will be earned equally over the next 18 months.
Required: Determine the company's working capital (current assets minus current liabilities) at December 31, 2013.