The assets of Fonzarelli Corporation are presented on the next page (000s omitted).

InstructionsIndicate the deficiencies, if any, in the foregoing presentation of Fonzarelli Corporation??sassets.

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FONZARELLI CORPORATION BALANCE SHEET (PARTIAL) DECEMBER 31, 2012 Assets Current assets Cash Unclaimed payroll checks Debt investments (trading) (fair value $30,000) at cost Accounts receivable (less bad debt reserve) Inventory-at lower-of-cost- (determined by the next-in, $ 100,000 27,500 37,000 75,000 first-out method) or-market 240,000 Total current assets 479,500 Tangible assets Land (less accumulated depreciation) Bulldings and equipment Less: Accumulated depreciation 80,000 $800,000 250,000 550,000 Net tangible assets 630,000 Long-term investments Stocks and bonds 100,000 70,000 Treasury stock Total long-term investments 170,000 Other assets Discount on bonds payable Sinking fund 19,400 975,000 Total other assets 994,400 Total assets $2,273,900