3-7 (Algo) Balance sheet preparation; errors [LO3-2, 3-3] 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 $770,000 310,000 80,000 160,000 280,000 300,000 120,000 100,000 Total assets $2,120,000 Liabilities and Shareholders' Equity Accounts payable $235,000 Accumulated depreciation Notes payable Appreciation of inventory Common stock (authorized and issued 120,000 shares of no par stock) 275,000 540,000 100,000 400,000 Retained earnings 490,000 Total liabilities and shareholders' equity $2,120,000 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 $70,000 but, due to a significant increase in market value, is listed at $160,000. 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, $40,000 of which will be sold in the coming year. The remainder will be held indefinitely. 3. Notes payable are all long term. However, a $300,000 note requires an installment payment of $75,000 due in the coming year. 4. Inventory is recorded at current resale value. The original cost of the inventory is $180,000. 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.) Current assets HUBBARD CORPORATION Balance Sheet At December 31, 2021 Assets tes Total current assets Investments Total investments Property, plant, and equipment Net property, plant, and equipment Intangible assets: Che Net property, plant, and equipment Intangible assets: Total assets Current liabilities: Total current liabilities Long-term liabilities: Total liabilities Shareholders' equity: Liabilities and Shareholders' Equity Total shareholders' equity Total liabilities and shareholders' equity