Balance Sheet Preparation 
Company GHI Ltd. has the following assets: Cash $40,000, Accounts Receivable $25,000, Inventory $30,000, and Property, Plant, and Equipment $200,000. Liabilities include Accounts Payable $20,000 and Long-Term Debt $100,000. Prepare a balance sheet for GHI Ltd., detailing the classification of assets and liabilities.
GHI Ltd.'s balance sheet is prepared as follows: Assets:

• Cash: $40,000
• Accounts Receivable: $25,000
• Inventory: $30,000
• Property, Plant, and Equipment: $200,000

Total Assets: $295,000
Liabilities:

• Accounts Payable: $20,000
• Long-Term Debt: $100,000

Total Liabilities: $120,000
Owner's Equity:

• Total Assets - Total Liabilities
• $295,000 - $120,000

Owner's Equity: $175,000