These items are taken from the financial statements of Summit's Bowling Alley at December 31, 1998:

\section*{Instructions}
Prepare a classified balance sheet; assume that \(\$ 13,600\) of the mortgage payable will be paid in 1999.

Transcribed Image Text:

Building $125,800 Accounts receivable 14,520 Prepaid insurance 4,680 Cash 20,840 Equipment 62,400 Land 61,200 Insurance expense 780 Depreciation expense 5,360 Interest expense 2,600 Common stock 80,000 Retained earnings 30,000 Accumulated depreciation-building 45,600 Accounts payable 13,480 Mortgage payable 93,600- Accumulated depreciation-equipment 18,720 Interest payable 2,600 Bowling revenues 14,180