8. Norman Ulrich is the owner of Metropolitan Cartage Company in Halifax, Nova Scotia.

His personal and business assets are

A. Separate the amount list below into the two columns provided.
B. Calculate the total assets and the total liabilities in each column.
C. Calculate Norm Ulrich’s personal net worth and his equity in Metropolitan Cartage Company.
Assets Amount Business Personal
Personal Canada Savings
$ 10 000 22,000 10,000
Bonds
Accounts Receivable 22 000 130,000 19,000
Land 130 000 3150

Personal Automobile 19 000 84000

Business Bank Balance 3 150 24000 2860

Home Furniture and

8 250 8250 286500
Appliances
Trucks and Equipment 84 000 205,000
Second house for rental
205 000 420,000
purposes
Buildings 420 000 24,000

Office Equipment 24 000 8250

Personal Bank Balance 2 860

Supplies 8 250
House and Lot 286 500
Total Assets 1223010

Liabilities Amount Business Personal

Accounts Payable $ 5 500
Bank Loan on Office
9 200
Equipment
Mortgage on House and Lot 135 000
Mortgage on Building 200 000
Mortgage on Rental House 150 000
Personal debt to his father 10 000
Total Liabilities 509700
Owner’s Equity Business Personal
N. Ulrich, Capital 713310

9. Why do we need to separate Norman’s business and personal expenses /1

Answer:
because we dont want to mix up business profit and personal,it is more conv

10. Marco Polo is the owner of Maps Incorporated, in Imagination Town, B.C.
Below are his business’s assets and liabilities.
Cash 5000 Property 80000
Accounts Receivable 1200 Bank Loan 10000
Supplies 2500 Accounts Payable 5000
Equipment 6000 Mortgage 60000
Automobile 15000 75000

Mr. Polo wishes to retire. A liquidator is hired to collect all accounts receivable in full.

The supplies are sold for $1000; the equipment is sold for $4500;
Mr. Polo will take ownership of the property for his personal use; the automobile is sold for $10 000. The liquidator c

A. Create a balance sheet for Mr. Polo once he sells his assets, collects his A/R in full, and takes possession of
A. What dollar value will Mr. Polo have after liquidating his entire company and paying any applicable credito

Mr. Polo
balance sheet
October 3rd 2023
Assets Liabilities

cash $20,500 bank loan $10,000

property 80000 A/P 5000
mortagage 60000

total liabili 75000

Owner's equity
Mr.Polo capital 25500

total asset 100500 total equity and liabili 100500

B Answer
11. Jack Plummer, a factory worker, asks you to help him find out how much he is worth. From a
discussion with him, you find out the following facts:
Prepare a personal balance sheet for Jack Plummer dated October 1st of the current year using
a. His cash on hand is $1800.
b. He owns Canada Savings Bonds worth $1000.
c. He owns a home valued at $385 000 that has a mortgage on it of $84 000.
d. He owns an automobile that he bought for $16 200, and still owes Ace Finance $1800 for it.
e. He owns a summer property valued at $130 000, which he bought with money borrowed from the
f. He has unpaid bills amounting to $3000.
g. He owes his father, M. Plummer, the sum of $50 000, which he borrowed interest free several yea
h. He owns furniture valued at $6000.

Jack Plummer
personal balance sheet
October 1st, 2023
Assets Liabilities

cash $1,800 bank loan $93,000

canada sav 1000 A/p 1800
Home 385000 mortagage 84000
automobil 16200 unpaid bill 3000
property 130000 A/p father 50000
furniture 6000
total liabili $231,800

Owner's equity
Mr.Polo capital

total asset $540,000 total equity and liabili

 sonal and business assets are listed below. Multiple Choice (1-7)
/4 Answer Multiple Choice here
/1 1 A
an Cartage Company. /1 2 C
3 B

4 A
5 A
6 A

7 B
or $10 000. The liquidator charges $1500.

full, and takes possession of his property

aying any applicable creditors?/2

rrent year using /6

e Finance $1800 for it.
th money borrowed from the bank. Since the time of purchase, he has paid $37 000 of the loan.

wed interest free several years ago at the time he bought his home.

12. Françoise Boudreau has just purchased a crafts shop which she plans to call Bou
$308,200 She believes that she knows enough about accounting to prepare her first balance

590000

List 4 errors found on Françoise’s balance sheet. Explain your discovery but be
(Note: If you discover that a total is wrong, it is probable that other totals are wro

A. building and mortgage not in the same row bulding is less liquid than oth

B. mortagage is liability

C. every single amount have dolar sign we need only for the first one and t

D. total assets is not the same row as capital

E. there is not word capital after the owner's equity it should be : Boudreau
hop which she plans to call Boucrafateurs, in Chicoutimi, Quebec. /5
g to prepare her first balance sheet, as illustrated below, before starting business on May 1, 20–.

Explain your discovery but be aware that incorrect totals count only as one error.) (there may be more errors than marks)
bable that other totals are wrong as well.

bulding is less liquid than other below it should be below

eed only for the first one and totals

equity it should be : Boudreau Crafts capital

rors than marks)