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Balance Sheet Assets Liabilities Current Assets Current Liabilities Cash. . . . . . . . . . . . . . . . .
Balance Sheet | ||||
Assets | Liabilities | |||
Current Assets | Current Liabilities | |||
Cash. . . . . . . . . . . . . . . . . . . . . . . . | 52 | Accounts payable. . . . . . . . . . . . . . | 43 | |
Accounts receivable. . . . . . . . . . . . . | 21 | Notes payable/short term debt. . . . . | 7 | |
Inventories. . . . . . . . . . . . . . . . . . . | 20 | Total current liabilities. . . . . . . . . . . . | 50 | |
Total current assets. . . . . . . . . . . . . | 93 | |||
Long-Term Assets | Long-Term Liabilities | |||
Net property, plant, and equipment. . . | 117 | Long-term debt. . . . . . . . . . . . . . . . | 127 | |
Total long-term assets. . . . . . . . . . . . | 117 | Total long-term liabilities. . . . . . . . . . | 127 | |
Total liabilities. . . . . . . . . . . . . . . . | 177 | |||
Stockholders' Equity. . . . . . . . . . | 33 | |||
Total assets. . . . . . . . . . . . . . . . . . | 210 | Total liabilities and stockholders' Equity. . . . . . . . . . . . . . . . . . . . . . | 210 | |
The above diagram shows a balance sheet for a certain company. All quantities shown are in millions of dollars. How would the balance sheet change if the company's long-term assets were judged to depreciate at an extra
$5
million per year?
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