Current assets:Total current assetsInvestments:Total investmentsProperty, plant, and equipment:Net property, plant, and equipmentIntangible assets:Total assetsCurrent liabilities:Total current liabilitiesLong-term liabilities:HUBBARD CORPORATIONBalance SheetAt December 31, 2021AssetsTotal liabilitiesShareholders' equity:Liabilities and Shareholders' EquityTotal shareholders' equityTotal liabilities and shareholders' equity The following balance sheet for the Hubbard Corporation was prepared by the company:HUBBARD CORPORATIONBalance SheetAt December 31, 2021AssetsBuildingsLandCashAccounts receivable (net)InventoryMachineryPatent (net)Investment in equity securitiesTotal assetsLiabilities and Shareholders' EquityAccounts payableAccumulated depreciationNotes payableAppreciation of inventoryCommon stock (authorized and issuedno par stock)106,000 sharesRetained earningsTotal liabilities and shareholders' equity$ 756,000268,08066,080132,080252,000286,000106,00072,000$1,938,000$ 221,000261,080512,08086,080424,000434,000$1,938,000Additional information:1. The buildings, land, and machinery are all stated at cost except for a parcel of land that the company is holding for future sale. Theland originally cost $56,000 but, due to a significant increase in market value, is listed at $132,000. The Increase in the land accountwas credited to retained earnings.2. The Investment in equilty securities account consists of stocks of other corporations and are recorded at cost, $26,000 of which willbe sold in the coming year. The remainder will be held indefinitely.3. Notes payable are all long term. However, a $160,000 note requires an Installment payment of $40,000 due in the coming year.4. Inventory is recorded at current resale value. The original cost of the Inventory is $166,000.Required:Prepare a corrected classified balance sheet for the Hubbard Corporation at December 31, 2021. (Amounts to be deducted should beIndicated by a minus sign.)

The balance sheet is a component of the company's financial statement that reports the entity's…

The following balance sheet for the Hubbard Corporation was prepared by the company: HUBBARD CORPORATION Balance Sheet At December 31, 2021 Assets Buildings Land Cash Accounts receivable (net) Inventory Machinery Patent (net) Investment in equity securities Total assets Liabilities and Shareholders' Equity Accounts payable Accumulated depreciation Notes payable Appreciation of inventory Common stock (authorized and issued 106,000 shares of no par stock) Retained earnings Total liabilities and shareholders' equity $ 756,080 268,080 66,080 132,000 252,080 286,000 106,000 72,080 $1,938,000 $ 221,080 261,080 512,080 86,000 424,080 434,000 $1,938,000 Additional Information: 1. The buildings, land, and machinery are all stated at cost except for a parcel of land that the company is holding for future sale. The land originally cost $56,000 but, due to a significant increase in market value, is listed at $132,000. The Increase in the land account was credited to retained earnings. 2. The Investment in equity securities account consists of stocks of other corporations and are recorded at cost, $26,000 of which will be sold in the coming year. The remainder will be held indefinitely. 3. Notes payable are all long term. However, a $160,000 note requires an Installment payment of $40,000 due in the coming year. 4. Inventory is recorded at current resale value. The original cost of the Inventory is $166,000. Required: Prepare a corrected classified balance sheet for the Hubbard Corporation at December 31, 2021. (Amounts to be deducted should be Indicated by a minus sign.)

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter15: Financial Statement Analysis

Section: Chapter Questions

Problem 20BEA: The income statement, statement of retained earnings, and balance sheet for Somerville Company are...