Exercise 5-12 Presented below is the trial balance of Larkspur Corporation at December 31, 2017. Debit Credit Cash $ 200,490 Sales $ 8,104,080 Debt Investments (trading) (cost, $145,000) 157,080 Cost of Goods Sold 4,800,000 Debt Investments (long-term) 302,490 Equity Investments (long-term) 280,490 Notes Payable (short-term) 94,080 Accounts Payable 459,080 Selling Expenses 2,004,080 Investment Revenue 64,820 Land 264,080 Buildings 1,043,490 Dividends Payable 139,490 Accrued Liabilities 100,080 Accounts Receivable 439,080 Accumulated Depreciation-Buildings 152,000 Allowance for Doubtful Accounts 29,080 Administrative Expenses 901,820 Interest Expense 212,820 Inventory 600,490 Gain (extraordinary) 81,820 Notes Payable (long-term) 903,490 Equipment 604,080 Bonds Payable 1,003,490 Accumulated Depreciation-Equipment 60,000 Franchises 160,000 Common Stock ($5 par) 1,004,080 Treasury Stock 195,080 Patents 195,000 Retained Earnings 81,490 Paid-in Capital in Excess of Par 83,490 Totals $12,360,570 $12,360,570 Prepare a balance sheet at December 31, 2017, for Larkspur Corporation. (Ignore income taxes). (List Current Assets in order of liquidity. List Property, Plant and Equipment in order of Land, Building and Equipment. Enter account name only and do not provide the descriptive information provided in the question.)

Cash it's the assets most liquid then are the Accounts Receivables and Inventories for last, in the middle exist different assets as Equity investments.

Prepaid expenses are not liquid because these accounts doesn't means the company could get cash if not that the company have rights over something.

2017 Balance Sheet

$200,490 Cash

$157,080 Debt Investments

$410,000 Accounts Receivable

$600,490 Inventory

$1,368,060 TOTAL CURRENT ASSETS

$264,080 Land

$604,080 Equipment

-$60,000 Accum Depreciation

$1,043,490 Buildings

-$152,000 Accum Depreciation

$195,000 Patents

$280,490 Equity Investments

$160,000 Other Assets Intangibles

$302,490 Debt Investments

$2,637,630 TOTAL NONCURRENT ASSETS

$4,005,690 TOTAL ASSETS

$459,080 Accounts Payable

$94,080 Notes Payable

$100,080 Accrued Liabilities

$139,490 Dividends Payable

$792,730 TOTAL CURRENT LIABILITIES

$903,490 Notes Payable

$1,003,490 Bond Payable

$1,906,980 TOTAL NONCURRENT LIABILITIES

$2,699,710 TOTAL LIABILITIES

$1,004,080 Common Stock

-$195,080 Treasury Stocks

$83,490 Paid in Capital

$413,490 Retained Earnings

$1,305,980 TOTAL EQUITY

$4,005,690 TOTAL EQUITY + LIABILITIES

Income Statement

Sales $8,104,080

Depreciation -$4,800,000

MARGEN BRUTO $3,304,080

Selling Expenses -$2,004,080

Adm Expenses -$901,820

Interest Expenses -$212,820

Income Statement $185,360

Investment Revenue $64,820

Gain $81,820