Financial statements for Zachary Company follow. ZACHARY COMPANY Balance Sheets As of December 31 Year 4 Year 3 Assets Current assets Cash Marketable securities. Accounts receivable (net) Inventories Prepaid items Total current assets. Investments Plant (net) Land Total assets Liabilities and Stockholders' Equity. Liabilities Current liabilities Notes payable Accounts payable Salaries payable Total current liabilities. Noncurrent liabilities. $25,500 21,900 $21,500 7,900 60,000 52,000 145,000 153,000 29,000 14,000 281,400 22,000 260,000 248,400 15,000 245,000 29,000 $592,400 24,000 $532,400 $39,200 $10,800 73,800 60,000 22,000 16,000 135,000 86,800 Bonds payable 110,000 110,000 Other 25,000 20,000 Total noncurrent liabilities 135,000 130,000 Total liabilities 270,000 216,800 Stockholders' equity Preferred stock, (par value $10, 5% cumulative, non-participating; 9,000 shares authorized and issued) 90,000 90,000 Common stock (no par; 50,000 shares authorized; 10,000 shares issued) 90,000 90,000