Jerrison Company operates a wholesale hardware business. The following balance sheet accounts and balances are available for Jerrison at December 31,2019. Accounts payable $ 65,100 Equipment, data processing $309,000
Accounts receivable 95,500 Income taxes payable 150,000
Accumulated depreciation Interest payable 12,600
(on building) 216,800 Inventory 187,900
Accumulated depreciation Investments (long-term) 32,700
(on data processing equipment) 172,400 Investments (short-term) 10,400
Accumulated depreciation 31,200 Land 41,000
(on trucks) Notes payable (due June 1, 2020) 21,600
Bonds payable (due
Aug. 30, 2023) 200,000 Prepaid insurance (for 4 months) 5,700
Building (warehouse) 419,900 Retained earnings, 12/31/2019 ?
Cash 18,000 Salaries payable 14,400
Common stock 150,000 Trucks 106,100
Required:
1. Prepare a classified balance sheet for Jerrison at December 31, 2019.
2. Compute Jerrison's working capital and current ratio at December 31, 2019.