P2-5 (Algo) Recording Transactions, Preparing Journal Entries, Posting to T-Accounts, Preparing the Balance Sheet, and Evaluating the Current Ratio LO2-2, 2-4, 2-5

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Mango Inc., headquartered in Cupertino, California, designs, manufactures, and markets mobile communication and media devices, personal computers, and portable digital music players and sells a variety of related software and services. The following is Mangos (simplified) balance sheet from a recent year (fiscal year ending on the last Saturday of September).

MANGO INC. CONSOLIDATED BALANCE SHEET September 30, 2017 (dollars in millions)
ASSETS
Current assets:
Cash	$	14,104
Short-term investments		11,441
Accounts receivable		17,780
Inventories		2,145
Other current assets		24,265
Total current assets		69,735
Long-term investments		132,450
Property, plant, and equipment, net		20,986
Other noncurrent assets		12,746
Total assets	$	235,917
LIABILITIES AND STOCKHOLDERS EQUITY
Current Liabilities:
Accounts payable	$	30,730
Accrued expenses		18,781
Unearned revenue		8,647
Short-term notes payable		6,420
Total current liabilities		64,578
Long-term debt		29,505
Other noncurrent liabilities		28,349
Total liabilities		122,432
Stockholders equity:
Common stock ($0.00001 per value)		1
Additional paid-in capital		25,812
Retained earnings		87,672
Total stockholders equity		113,485
Total liabilities and shareholders' equity	$	235,917

Assume that the following transactions (in millions) occurred during the next fiscal year (ending on September 29, 2018):

1. Borrowed $18,312 from banks due in two years.
2. Purchased additional investments for $25,200 cash; one-fifth were long term and the rest were short term.
3. Purchased property, plant, and equipment; paid $9,618 in cash and signed a short-term note for $1,456.
4. Issued additional shares of common stock for $1,515 in cash; total par value was $1 and the rest was in excess of par value.
5. Sold short-term investments costing $19,052 for $19,052 cash.
6. Declared $11,172 in dividends to be paid at the beginning of the next fiscal year.