P5-2 (Balance Sheet Preparation) Presented below are a number of balance sheet items for Montoya, Inc., for the current year, 2010.
Accumulated Depreciation - Equipment $292,000
Payroll Taxes Payable 177,591
Bonds Payable 300,000
Rent Payable - Short-term 45,000
Discount on Bonds Payable 15,000
Taxes Payable 98,362
Long-term Rental Obligations 480,000
Common Stock, $1 Par Value 200,000
Notes Receivable 445,700
Preferred Stock, $10 Par Value 150,000
Notes Payable to Banks 265,000
Prepaid Expenses 87,920
Accounts Payable 490,000
Retained Earnings ?
Trading Securities 121,000
Income Taxes Receivable 97,630
Accumulated Depreciation - Building 270,200
Unsecured Notes Payable (Long-term) 1,600,000
Prepare a classified balance sheet in good form. Common stock authorized was 400,000 shares, and preferred stock authorized was 20,000 shares. Assume that notes receivable and notes payable are short-term, unless stated otherwise. Cost and fair value of marketable securities are the same.