Question

1/ Listed below are year-end account balances ($ in millions) taken from the records of Symphony Stores.

	Debit		Credit
Accounts receivable-trade	691
Building and equipment	939
Cash-checking	39
Interest receivable	42
Inventory	32
Land	155
Notes receivable (long-term)	493
Petty cash fund	7
Prepaid rent	35
Supplies	9
Trademark	49
Accounts payable-trade			672
Accumulated depreciation			60
Additional paid-in capital			471
Allowance for uncollectible accounts			18
Cash dividends payable			23
Common stock, at par			13
Income tax payable			56
Notes payable (long-term)			839
Retained earnings			318
Deferred revenues			21
TOTALS	2,491		2,491

What would Symphony report as total assets?

Multiple Choice

• $1,574 millions.

• $2,431 millions.

• $2,491 millions.

• $2,413 millions.

2/ The following partial balance sheet ($ in thousands) for Paisano Seafood Inc. is shown below.

Assets				Liabilities and Equity
Current assets:				Current liabilities:
Cash	$	67		Accounts payable	$	234
Accounts receivable (net)		188		Other liabilities		73
Notes receivable		59		Total current liabilities		307
Inventories		206		Long-term liabilities		95
Prepaid expenses		36		Total liabilities		402
Total current assets		556		Shareholders' equity:
Plant assets (net)		268		Capital stock		132
				Retained earnings		290
				Total shareholders' equity		422
Total assets	$	824		Total liabilities and equity	$	824

Working capital is:

Multiple Choice

• $322 thousand.

• $249 thousand.

• $154 thousand.

• $556 thousand.

Answer 1