Statement of financial position items for Pronghorn Inc. follow for the current year, 2023: Goodwill Bank loan Bonds payable due 2027 Cash Land Notes receivable $123,750 175,815 282,300 Rent payable 356,400 Income tax payable 475,200 Rent payable (long-term) 441,243 Common shares (20,000 shares issued) 262,350 Preferred shares (15,000 shares issued) Prepaid expenses Equipment Notes payable Accounts payable Retained earnings Income tax receivable 96,654 Notes payable (due in five years) 1,584,000 485,100 ? Accumulated depreciation-equipment Inventory FV-NI investments Accumulated depreciation-buildings Buildings $289,080 237,402 44,550 97,378 475,200 198,000 148,500 87,041 1,455,300 119,790 267,498 1,623,600

Many businesses estimate tax liability and make payments throughout the year (often quarterly). When a company overestimates its tax liability, this results in the business paying a prepaid tax. Prepaid taxes will be reversed within one year but can resu…

Financial accounting is one of the branches of accounting in which the transactions arising in the business over a particular period are recorded.

A ledger is an account that provides information on all the transactions that have taken place during a particular period. It is also known as General Ledger. For example, your bank account statement is a general ledger that gives information about the a…

In accounting we start with recording transaction with journal entries then we make separate ledger account for each type of transaction. It is very necessary to check and verify that the transaction transferred to ledgers from the journal are accurately…

At the end of every accounting period Adjustment Entries are made in order to adjust the accounts precisely replicate the expenses and revenue of the current period. It is also known as end of period adjustment. It can also be referred as financial repor…