Please show all work and computations for answers in the liability and stockholders equity section. Please make sure it is in good form and include all disclosures in good form!!!! Instructions are below.

Problem 1 (13 Points)

Cleves Corporation

Post-Closing Trial Balance

December 31, 2020

Account Debit Credit

Accounts Payable $ 310,000 Accounts Receivable $ 480,000

Accumulated Depreciation - Buildings 185,000 Additional Paid-in Capital in Excess of Par - Common 1,300,000 Additional Paid-in Capital from Treasury Stock 160,000 Allowance for Doubtful Accounts 30,000 Bonds Payable, 8% due 2025 300,000 Buildings 1,450,000

Cash 190,000

Common Stock ($1 par) 200,000 Discount on Bonds Payable 12,000

Dividends Payable (preferred stock - cash) 4,000 Inventory 560,000

Land 400,000

Other Comprehensive Income (Loss) 19,000

Preferred Stock ($50 par) 500,000 Prepaid Expenses 40,000

Retained Earnings 332,000 Treasury Stock (Common, at Cost) 170,000

Totals 3,321,000 3,321,000

At December 31,2020, Cleves had he following number of common and preferred shares.

Common Preferred

Authorized 600,000 60,000

Outstanding 190,000 10,000

The dividends on preferred stock are 8% cumulative. In addition, preferred stock has a preference in liquidation of $50 per share.

Instructions: Prepare the liability and the stockholders' equity section of Cleve's balance sheet at December 31, 2020 in "good" form including disclosures.