The following is the ending balances of accounts at December 31, 2018 for the Valley Pump Corporation.

Account TitleDebitsCredits

Cash39,000

Accounts receivable84,000

Inventories109,000

Interest payable 24,000

Marketable securities72,000

Land148,000

Buildings370,000

Accumulated depreciationbuildings 114,000

Equipment103,000

Accumulated depreciationequipment 39,000

Copyright (net of amortization)26,000

Prepaid expenses (next 12 months)46,000

Accounts payable 79,000

Deferred revenues (next 12 months) 34,000

Notes payable 320,000

Allowance for uncollectible accounts 9,000

Common stock 340,000

Retained earnings 38,000

Totals997,000 997,000

Additional information:

The $148,000 balance in the land account consists of $114,000 for the cost of land where the plant and office buildings are located. The remaining $34,000 represents the cost of land being held for speculation.

The $72,000 in the marketable securities account represents an investment in the common stock of another corporation. Valley intends to sell one-half of the stock within the next year.

The notes payable account consists of a $128,000 note due in six months and a $192,000 note due in three annual installments of $64,000 each, with the first payment due in August of 2019.