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 $ 604,000 503,000 2,028,000 202,000 $3,337,000 $ 404,000 1,073,000 1,860,000 $3,337,000 The captions shown in the summarized statement above include the following: a. Current assets: cash, $151,000; accounts receivable (net), $201,000; inventory, $226,000; and prepaid insurance, $26,000. b. Investments: investment in equity securities, short term, $91,000, and long term, $161,000; and restricted cash, long term, $251,000. C. Property, plant, and equipment buildings, $1,510,000 less accumulated depreciation, $601,000; equipment, $510,000 less accumulated depreciation, $201,000; and land, $810,000. d. Intangible assets net of amortization: patent, $111,000; and copyright, $91,000. e. Current liabilities: accounts payable, $101,000; notes payable, short term, $151,000, and long term, $91,000; and income taxes payable, $61,000. f. Long-term liabilities: bonds payable due 2023. g. Shareholders' equity: common stock, $1,050,000; retained earnings, $810,000. Six hundred thousand shares of no par common stock are authorized, of which 210,000 shares were issued and are outstanding.

Answer 1

HHD, INC. Balance Sheet At December 31, 2021 Assets Current Assets: Cash Investment in equity securities Accounts Receivable Inventory Prepaid insurance Total Current Assets $151,000 $91,000 $201,000 $226,000 $26,000 $695,000 Investments Investment in equity securities Restricted cash Total Investments $161,000 $251,000 $412,000 Property, plant and Equipment: Land Buildings Equipment $810,000 $1,510,000 $510,000 $2,830,000 -$601,000 - $201,000 Less: Accumulated Depreciation-buildings Less: Accumulated Depreciation - equipment Net Property, Plant and Equipment $2,028,000 $202,000 $3,337,000 Intangible assets Patent(net) $111,000 Copyright (net) $91,000 Total intangible assets Total Assets Liabilities and Shareholders' Equity Current Liabilities: Accounts payable Notes payable (current) Income tax payable Total current liabilities $101,000 $151,000 $61,000 $313,000 Long term liabilities: Notes payable Bonds payable Total long term liabilities Total liabilities $91,000 $1,073,000 $1,164,000 $1,477,000 Stockholders' Equity: Common stock Retained earnings Total shareholders' equity Total Liabilities and shareholders' equity $1,050,000 $810,000 $1,860,000 $3,337,000