Problem 3-4 Balance sheet preparation (LO3-2, 3-3) The following is the ending balances of accounts at December 31, 2018 for the Welsmuller Publishing Company. Account Title Cash Accounts receivable Inventories Prepaid expenses Machinery and equipment Accumulated depreciation-equipment Investments Accounts payable Interest payable Deferred revenue Taxes payable Notes payable Allowance for uncollectible accounts Common stock Retained earnings Totals Debits Credits 83, e8e 178,000 294,000 166,00 338,000 119,000 158, eee 69,000 29,000 89, eee 39,000 245,000 25,000 409,000 193, eee 1, 217, eee 1,217, eee Additional information: 1. Prepaid expenses include $138,000 paid on December 31, 2018, for a two-year lease on the building that houses both the administrative offices and the manufacturing facility. 2. Investments include $39,000 in Treasury bills purchased on November 30, 2018. The bills mature on January 30, 2019. The remaining $119,000 Includes Investments in marketable equity securities that the company intends to sell in the next year. 3. Deferred revenue represents customer prepayments for magazine subscriptions. Subscriptions are for periods of one year or less. 4. The notes payable account consists of the following: a. a $49.000 note due in six months. b. a $130.000 note due in six years. c. a $66.000 note due in three annual installments of $22.000 each with the next installment due August 31, 2019. 5. The common stock account represents 409,000 shares of no par value common stock issued and outstanding. The corporation has 600,000 shares authorized. Required: Prepare a classified balanced sheet for the Welsmuller Publishing Company at December 31, 2018. (Amounts to be deducted should be indicated by a minus sign.)