Higgins Company began operations last year. You are a member of the management team investigating expansion ideas that will require borrowing funds from banks. At the start of the current year, Higgins's T account balances were as follows: Assets Cash 4,800 Short-Term Investments Property and Equipment 2,300 3,000 Liabilities Short-Term Notes Payvable Long-Term Notes Payable 1,600 370 Adlitonal Paid-in CapialRetained Earnings85 Common Stock 450 4,530 The following transactions occured in current year a. Borrowed $2,800 from a local bank, signing a note due in three years. b. Sold $1,100 of the investments for $1,100 cash. c. Sold one-half of the property and equipment for S1,500 in cash. d. Declared and paid $350 in cash dividends to stockholders. Required Prepare a classified balance sheet at December 31 of the current year. HIGGINS COMPANY Balance Sheet Assets Liabilities Current assets Current liabilities Cash Short-term notes payable Total current liabilities notes payable 3,170 Total current assets Total liabilities 3,170 Non-current assets: Stockholders' Equity Property and equipment 1,500 Common stock Retained earnings 4.180 a. Borrowed $2,800 from a local bank, signing a note due in three years b. Sold $1,100 of the investments for $1,100 cash c. Sold one-half of the property and equipment for $1,500 in cash d. Declared and paid $350 in cash dividends to stockholders Required Prepare a classified balance sheet at December 31 of the current year Answer is not complete. HIGGINS COMPANY Balance Sheet At December 31 Assets Liabilities Current assets Current liabilities Cash Short-term notes payable Short-term investments Total current liabilities 0 Long-term notes payable Total current assets Total liabilities 3,170 Non-current assets Stockholders' Equity Property and equipment 1,500Common stock Retained eamings 4,180 Total non-current assets 1,500 Total stockholders' equity 4,180 Total assets $1,500 Total liabilities and stockholders' equity 7,350