Question

Presented below is the balance sheet for HHD, Inc., at December 31, 2021. Current assets Investments Property, plant, and equipment Intangible assets Total assets Current liabilities Long-term liabilities Shareholders' equity Total liabilities and shareholders' equity $ 660,000 545,000 2,420,000 230,000 $3,855,000 $ 460,000 695,000 2,700,000 $3,855,000 The captions shown in the summarized statement above include the following: a. Current assets: cash, $165,000; accounts receivable (net). $215,000; inventory $240,000; and prepaid insurance, $40,000, b. Investments: Investment in equity securities, short term, $105,000, and long term, $175,000; and restricted cash, long term, $265,000. c. Property, plant, and equipment buildings, $1,650,000 less accumulated depreciation, $615,000; equipment, $650,000 less accumulated depreciation, $215,000; and land, $950,000. d. Intangible assets net of amortization: patent, $125,000; and copyright, $105,000. e. Current liabilities: accounts payable, $115,000; notes payable, short term, $165,000, and long terin. $105,000; and income taxes payable, $75,000. f. Long-term liabilities: bonds payable due 2023. g. Shareholders' equity.common stock, $1,750,000; retained earnings, $950,000. Six hundred thousand shares of no par common stock are authorized, of which 350,000 shares were issued and are outstanding.

Answer 1

Answer:

HHD INC.
Balance Sheet
At December 31,2021
ASSETS :
Current Assets :
Cash		$ 165,000
Investment in securities ( short term)		$ 105,000
Accounts receivable		$ 215,000
Inventories		$ 240,000
Prepaid insurance		$ 40,000
Total current assets			$ 765,000
Investments :
Investment in securities ( long term)		$ 175,000
Restricted cash		$ 265,000
Total investments			$ 440,000
Property,Plant and Equipment:
Land		$ 950,000
Buildings	$1,650,000
less: Accumulated Depreciation-Buildings	(615,000)	$1,035,000
Equipment	$650,000
less: Accumulated Depreciation-Equipment	(215,000)	$435,000
Net property , Plant and Equipment			$ 2,420,000
Intangible Assets:
Patents		$ 125,000
copyrights		$ 105,000
Total Intangible Assets			$ 230,000
Total Assets			$ 3,855,000
LIABILITIES AND SHAREHOLDER'S EQUITY :
Current liabilities :
Accounts Payable		$ 115,000
Notes Payable		$ 165,000
Income Tax Payable		$ 75,000
Total current Liabilities			$ 355,000
Long term liabilities :
Notes Payable		$ 105,000
Bonds Payable		$ 695,000
Total long term liabilities			$ 800,000
Total Liabilities
Shareholder's equity :
Common stock		$ 1,750,000
Retained Earnings		$950,000
Total shareholder's equity			$ 2,700,000
Total liabilities and shareholder's equity			$ 3,855,000

Note :

• Common stock , No par (600,000 shares are Authorized , 350,000 shares issued and outstanding