The bookkeeper for Splish Company has prepared the following balance sheet as of July 31, 2017.

SPLISH COMPANY

BALANCE SHEET

AS OF JULY 31, 2017

Cash

$73,030

Notes and accounts payable

$48,030Accounts receivable (net)

44,530

Long-term liabilities

79,030Inventory

64,030

Stockholders' equity

159,530Equipment (net)

84,000

$286,590Patents

21,000

$286,590

The following additional information is provided.

1.

Cash includes $1,200in a petty cash fund and $12,950in a bond sinking fund.2.

The net accounts receivable balance is comprised of the following two items: (a) accounts receivable $48,030 and (b) allowance for doubtful accounts $3,500.3.

Inventory costing $5,323was shipped out on consignment on July 31, 2017. The ending inventory balance does not include the consigned goods. Receivables in the amount of $5,323were recognized on these consigned goods.4.

Equipment had a cost of $116,030and an accumulated depreciation balance of $32,030.5.

Income taxes payable of $6,000were accrued on July 31. Splish Company, however, had set up a cash fund to meet this obligation. This cash fund was not included in the cash balance, but was offset against the income taxes payable amount.

corrected classified balance sheet as of July 31, 2017, from the available information, adjusting the account balances using the additional information.