Question

Suppose the following items were taken from the 2022 financial statements of Texas Instruments, Inc. (All dollars are in millions.) Common stock $2,100 Accumulated depreciation-equipment Prepaid rent 150 Accounts payable $2,890 1.770 2,160 710 Equipment 6,070 Patents Stock investments (long-term) 700 Notes payable (long-term) Retained earnings Debt investments (short-term) 7,260 1,620 140 Income taxes payable Accounts receivable 1,900 1,070 Cash 1.200 Inventory Prepare a classified balance sheet in good form as of December 31, 2022. (List Current Assets in order of liquidity)

Answer 1

Balance sheet as on December 31, 2022:

Description	Amount	Amount
Assets:
Current assets
Cash	1200
Debt investments (short term)	1620
Accounts receivable	1900
Inventory	1070
Prepaid rent	150
Total current assets		5940
Investments:
Debt investments (long term)	700
Total investments		700
Property, Plant & Equipment:
Equipment	6070
Less: Accumulated depreciation	(2890)
Total property plant & equipment		3180
Intangible assets:
Patents	2160
Total intangible assets		2160
Total assets		11980
Liabilities & stockholder's equity:
Current liabilities:
Accounts payable	1770
Income taxes payable	140
Total current liabilities		1910
Long term liabilities:
Notes payable	710
Total long term liabilities		710
Stockholder's equity:
Common stock	2100
Retained earnings	7260
Total stockholder's equity		9360
Total liabilities & stockholder's equity		11980