• Accounts payable
• Accounts receivable
• Accrued liabilities
• Accumulated depreciation
• Additional paid-in capital
• Allowance for uncollectible accounts
• Bonds payable
• Buildings
• Cash
• Common stock
• Deferred revenue
• Depreciation expense
• Equipment
• Finished goods
• Franchise (net)
• Furniture and fixtures
• Income taxes payable
• Interest expense
• Interest payable
• Interest receivable
• Inventory
• Land
• Long-term investments
• Machinery
• Mortgage payable
• Notes payable
• Notes receivable
• Operating expenses
• Patent
• Prepaid expenses
• Prepaid insurance
• Prepaid rent
• Restricted cash
• Retained earnings
• Salaries payable
• Work in process

Exercise 3-7 (Static) Balance sheet preparation; errors [LO3-2, 3-3] The following balance sheet for the Los Gatos Corporation was prepared by a recently hired accountant. In revlewing the statement you notice several errors. Additional Information: 1. Cash Includes a $20,000 restricted amount to be used for repayment of the bonds payable In 2028 . 2. The cost of the machinery is $190,000. 3. Accounts recelvable Includes a $20,000 notes recelvable from a customer due in 2027. 4. The notes payable balance Includes accrued Interest of $5,000. Principal and Interest are both due on February 1 , 2025 . 5. The company began operations in 2019. Net Income less dividends since Inception of the company totals $35,000. 6. 50,000 shares of no par common stock were issued in 2019.100,000 shares are authorlzed. Required: Prepare a corrected, classified balance sheet. Use the additional Information to help determIne approprlate classifications and account balances. The cost of machinery and its accumulated depreclation are shown separately. Note: Amounts to be deducted should be Indicated by a minus sign