Expand Your Critical Thinking 4-8 Companies prepare balance sheets in order to know their financial position at a specific point in time. This enables them to make a comparison to their position at previous points in time and gives them a basis for planning for the future. In order to evaluate your financial position, you can prepare a personal balance sheet. Assume that you have compiled the following information regarding your finances. (Hint: Some of the items might not be used in your personal balance sheet.) Amount owed on student loan balance (long-term) Balance in checking account Certificate of deposit (6-month) Annual earnings from part-time job Automobile Balance on automobile loan (current portion) Balance on automobile loan (long-term portion) Home computer Amount owed to you by younger brother Balance in money market account Annual tuition Video and stereo equipment Balance owed on credit card (current portion) Balance owed on credit card (long-term portion) $4,800 1,300 3,700 12,000 7,200 1,440 3,600 900 300 1,810 6,200 1,320 140 1,640 Prepare a personal balance sheet using the format you have learned for a classified balance sheet for a company. For the equity account, use M. Y. Own, Capital. (List Current Assets in order of liquidity.) Balance Sheet Assets > > > Liabilities and Owner's Equity Liabilities and Owner's Equity $