Presented below is the balance sheet of Buffalo Corporation for the current year, 2020. BUFFALO CORPORATION BALANCE SHEET DECEMBER 31, 2020 Current assets $ 488,860 Current liabilities $ 383,860 Investments 643,860 1,003,860 Long-term liabilities Stockholders' equity 1.723,860 1.773,860 Property, plant, and equipment Intangible assets 305,000 $3,161,580 $ 3,161,580 1. The current assets section includes cash $ 153,860, accounts receivable $ 173,860 less $13,860 for allowance for doubtful accounts, inventories $ 183,860, and unearned rent revenue $8,860. Inventory is stated on the lower-of-FIFO-cost-or-net realizable value 2. The investments section includes the cash surrender value of a life insurance contract $ 43,860; investments in common stock, short-term $ 83,860 and long-term $ 273,860; and bond sinking fund $ 242,280. The cost and fair value of investments in common stock are the same. 3. Property, plant, and equipment includes buildings $ 1,043,860 less accumulated depreciation $363,860, equipment $ 453,860 less accumulated depreciation $ 183,860, land $ 503,860, and land held for future use $ 270,000. Intangible assets include a franchise $ 168,860, goodwill $ 193,860, and discount on bonds payable $ 32,280. Current liabilities include accounts payable $ 143,860, notes payable-short-term $ 83,860 and long-term $ 123,860, and income taxes payable $ 32,280. Long-term liabilities are composed solely of 7% bonds payable due 2028 Stockholders' equity has preferred stock, no par value, authorized 200,000 shares, issued 73,860 shares for $443,160, and common stock, $1.00 par value, authorized 400,000 shares, issued 103,860 shares at an average price of $ 10. In addition, the corporation has retained earnings of $ 292,100 4 5. 6. 7. BUFFALO CORPORATION Balance Sheet December 31, 2020 Assets Current Assets Cash Investments in Common Stock Accounts Receivable Les Allowance for Doubtful Accounts Inventory Total Current Assets Long-term Investments Investments in Common Stock Bond Sinking Fund Cash Surrender Value of Life Insurance Land Held for Future Use Property. Plant and Equipment Land Building Accumulated Depreciation Buildings Less : Accumulated Depreciation-Buildings Equipment Less Accumulated Depreciation Equipment Intangible Assets Franchises Goodwin Total Assets Liabilities and Stockholders' Equity Current Llabilities Accounts Payable $ Notes Payable Income Tax Payable Unearned Rent Revenue Total Current Liabilities Long term Liabilities Notes Payable Bondi Payable Bonds Payable $ Less : Discount on Bonds Payable Total Long-term Liabilities V Total Liabilities Capital Stock Preferred Stock Common Stock Paid in Capital in Excess of Par. Common Stock Related Emin Retained Earnings Total Stockholders' Equity Total Liabilities and Stockholders' Equity
