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Check my work Current assets Investments Property, plant, and equipment Intangib

ID: 2394311 • Letter: C

Question

Check my work Current assets Investments Property, plant, and equipment Intangible assets $ 644,000 533,000 2,308,000 222,000 $3,707,000 10 points Total assets Current liabilities Long-term liabilities Shareholders' equity 444,000 803,000 2,460,000 $3,707,000 eBook Total liabilities and shareholders' equity Print References The captions shown in the summarized statement above include the following a. Current assets: cash, $161,000; accounts receivable, $211,000; inventories, $236,000; and prepaid insurance, $36,000. b. Investments: investments in common stock, short term, $101,000, and long term, $171,000; and restricted cash, long term, $261,000 C. Property, plant, and equipment buildings, $1,610,000 less accumulated depreciation, $611,000; equipment, $610,000 less accumulated depreciation, $211,000; and land, $910,000 d. Intangible assets: patent, $121,000; and copyright, $101,000. e. Current liabilities: accounts payable, $111,000; notes payable, short term, $161,000, and long term, $101,000; and taxes payable, $71,000 f. Long-term liabilities: bonds payable due 2023. g. Shareholders' equity: common stock, $1,550,000; retained earnings, $910,000. Four hundred thousand shares of no par common stock are authorized, of which 310,000 shares were issued and are outstanding Required Prepare a corrected classified balance sheet for HHD, Inc., at December 31, 2018. (Amounts to be deducted should be indicated by a minus sign.)

Explanation / Answer

HHD, INC.

Balance Sheet

At December 31, 2018

Assets

Amount ( In $ )

Current Asset:

Cash

161000

Investment in Stock (Short term)

101000

Accounts Receivable

211000

Inventories

236000

Prepaid Insurance

36000

Total Current Assets

745000

Investments:

Investment in stocks

171000

Restricted cash

261000

Total Investments

432000

Property, Plant & Equipment

Land

910000

Buildings

1610000

Equipment

610000

3130000

Accumulated Depreciation

- 822000

Net Property, Plant & Equipment

2308000

Intangible Assets

Patent

121000

Copyright

101000

Total Intangible Assets

222000

Total Assets

3707000

Liabilities and Shareholders’ Equity

Amount ( In $ )

Current Liabilities

Accounts Payable

111000

Notes Payable (Short term)

161000

Taxes Payable

71000

Total Current Liabilities (a)

343000

Long Term Liabilities:

Notes Payable (Long term)

101000

Bonds payable (due 2023)

803000

Total Long Term Liabilities (b)

904000

Total Liabilities (a) + (b)

1247000

Shareholders’ Equity:

Common Stock

1550000

Retained earnings

910000

Total Shareholders’ Equity

2460000

Total Liabilities and Shareholders Equity

3707000

HHD, INC.

Balance Sheet

At December 31, 2018

Assets

Amount ( In $ )

Current Asset:

Cash

161000

Investment in Stock (Short term)

101000

Accounts Receivable

211000

Inventories

236000

Prepaid Insurance

36000

Total Current Assets

745000

Investments:

Investment in stocks

171000

Restricted cash

261000

Total Investments

432000

Property, Plant & Equipment

Land

910000

Buildings

1610000

Equipment

610000

3130000

Accumulated Depreciation

- 822000

Net Property, Plant & Equipment

2308000

Intangible Assets

Patent

121000

Copyright

101000

Total Intangible Assets

222000

Total Assets

3707000

Liabilities and Shareholders’ Equity

Amount ( In $ )

Current Liabilities

Accounts Payable

111000

Notes Payable (Short term)

161000

Taxes Payable

71000

Total Current Liabilities (a)

343000

Long Term Liabilities:

Notes Payable (Long term)

101000

Bonds payable (due 2023)

803000

Total Long Term Liabilities (b)

904000

Total Liabilities (a) + (b)

1247000

Shareholders’ Equity:

Common Stock

1550000

Retained earnings

910000

Total Shareholders’ Equity

2460000

Total Liabilities and Shareholders Equity

3707000