*Problem 5-4 Presented below is the balance sheet of Ayayai Corporation as of December 31, 2017. AYAYAI CORPORATION BALANCE SHEET DECEMBER 31, 2017 Assets Goodwill (Note 2) Buildings (Note 1) Inventory Land Accounts receivable Treasury stock (50,000 shares) Cash on hand Assets alloated to trustee for plant expansion 121,740 1,640,000 313,840 950,000 171,740 88,740 177,640 Cash in bank 71,740 139,740 $3,675,180 Debt investments (held-to-maturity) Equities Notes payable (Note 3) Common stock, authorized and issued, 1,000,000 shares, no par Retained earnings Noncontrolling interest Appreciation capital (Note 1) Income tax payable Reserve for depreciation recorded to date on the building 601,740 1,151,740 804,740 56,740 571,740 76,740 411,740 $3,675,180 Note 1: Buildings are stated at cost, except for one building that was recorded at appraised value. The excess of appraisal value over cost was $571,740. Depreciation has been recorded based on cost. Note 2: Gn the amount of $121,740 was recognized because the company believed that book value was not an accurate representation of the fair value of the company. The gain of $121,740 was credited to Retained Earnings. Note 3: Notes payable are long-term except for the current installment due of $100,000 Prepare a corrected classified balance sheet in good form. The notes above are for information only. (List Current Assets in order of liquidity