The following selected account balances were taken from ABC Company's general ledger at January 1, 2011and December 31, 2011:
January 1, 2011 December 31, 2011
Accounts receivable 52,000 36,000
Cash 23,000 47,000
Inventory 31,000 18,000
Accounts payable 11,000 37,000
Equipment 123,000 144,000
Salaries payable 2,000 4,000
Investments 42,000?
Land 91,000 40,000
Mortgage payable 111,000 60,000
Common stock 110,000 125,000
Retained earnings 32,000 37,000
Additional information for 2011 appears below:
1. ABC Company reported net cash inflows from operating activities of $60,000 and net cash outflows from
financing activities of $87,000
2. ABC Company sold land costing $60,000 and recorded an $8,000 loss on the sale
3. ABC Company purchased equipment for $21,000 cash
4. ABC Company purchased investments for $60,000 cash and sold investments and reported a $25,000 gain on
the sale
Calculate the balance in the investments account at December 31, 2011. Do not use decimals in your answer.
If anyone could please help me out it would be so much appreciated!
Thank you:)
Read more: Accounting Help? How to calculate balance in investments account?
