Presented below are selected accounts of Yesterday Company at December 31, 2019

Inventory (finished goods)

$25,000

Cost of Goods Sold

$ 1,000,000

Unearned Service Revenue

55,000

Notes Receivable

50,000

Equipment

295,000

Accounts Receivable

150,000

Inventory (work in process)

38,000

Inventory (raw materials)

85,000

Cash

45,000

Supplies Expense

6,000

Debt Investments (short-term)

35,000

Allow. for Doubtful Accounts

15,000

Customer Advances

72,000

Licenses

8,000

Additional Paid-in Capital

28,000

Treasury Stock

40,000

The following additional information is available.

1. Inventories are valued at lower-of-cost-or-market using LIFO.

2. Equipment is recorded at cost. Accumulated depreciation, computed on a

straight-line basis, is $29,500

3. The short-term investments have a fair value of $29,000.

4. The notes receivable are due April 30, 2022, with interest receivable every April 30.

The notes bear interest at 6%. (Hint: Accrue interest due on December 31, 2019.)

5. The allowance for doubtful accounts applies to the accounts receivable.

6. Licenses are recorded net of accumulated amortization of $1,500

7. Treasury stock is recorded at cost.

Instructions

Prepare the current assets section of Yesterday Companys December 31, 2019, balance sheet, with appropriate disclosures.