E3-23 Adjustment for depreciation

The estimated amount of depreciation on equipment for the current year is $133,000.

a. How is the adjustment recorded? Indicate each account affected, whether the account is increased or decreased, and the amount of the increase or decrease. b. If the adjustment in (a) was omitted, which items would be erroneously stated on (1) the income statement for the year and (2) the balance sheet as of December 31?

E3-29 Classified balance sheet

La-Z-Boy Inc. is one of the world's largest manufacturers of furniture anise the best known or its reclining chairs. The following data (in thousands) were adapted from recent financial statements:

account payable $49,537 account receivable 161,299 accrued expense 77,447 accumulated depreciation 301,199 capital stock 256,3222 cash 115,262 intangible assets (trade names) 3,100 Inventories 138,444 debt due within one year 5,120 long-term debt 29,937 other current assets 17,218 other long-term assets 37,529 other long-term liabilities 67,274 property, plant, and equipment 421,802 retained earnings 107,818

Instructions: Prepare a classified balance sheet as of April 30, 20Y8.