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COTB Brief Exercise 3-3 (Static) Balance sheet classification [LO3-2, 3-3] The trial balance for a company listed the following account balances at December 31, Year 1, the end of its fiscal year: cash, $16,000; accounts receivable, $11,000; inventory, $25,000; equipment (net), $80,000; accounts payable, $14,000; salaries payable, $9,000; interest payable, $1,000; notes payable (due in 18 months), $30,000; common stock, $50,000. Prepare a classified balance sheet for the company. The equipment originally cost $140,000. Note: Amounts to be deducted should be indicated by a minus sign. Note: Amounts to be deducted should be indicated by a minus sign. \begin{tabular}{|c|c|c|} \hline \multicolumn{3}{|c|}{ The Company } \\ \hline \multicolumn{3}{|c|}{ Balance Sheet } \\ \hline \multicolumn{3}{|c|}{ At December 31, Year 1} \\ \hline \multicolumn{3}{|l|}{ Assets } \\ \hline \multicolumn{3}{|l|}{ Current assets: } \\ \hline \\ \hline \multicolumn{3}{|l|}{+2} \\ \hline & & \\ \hline \multicolumn{3}{|l|}{ L } \\ \hline Total current assets & & 0 \\ \hline \multicolumn{3}{|l|}{ Property, plant, and equipment: } \\ \hline & & \\ \hline Net property, plant, and equipment & & 0 \\ \hline Total assets & $ & 0 \\ \hline \multicolumn{3}{|c|}{ Liabilities and Shareholders' Equity } \\ \hline \multicolumn{3}{|l|}{ Current liabilities: } \\ \hline \\ \hline \\ \hline & & \\ \hline Total current liabilities & & 0 \\ \hline \multicolumn{3}{|l|}{ Long-term liabilities: } \\ \hline & & \\ \hline & & 0 \\ \hline \multicolumn{3}{|l|}{ Shareholders' equity: } \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline Total sharehoiders' equity & & 0 \\ \hline Total liabilities and shareholders' equity & $ & 0 \\ \hline \end{tabular}

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