Print Preiew Accounts Payable Accounts Receivable-Trade $ 32.160 Insurance Claims Receivable $120,000 57.731 Inventories 201,620 Accumulated Depreciation-Leasehold Improvements and Eqipment Investment in Unconsolidated Subsidiary 579472 80,000 Additional Paid-in Capital Allowance for Bad Debts 265,000 Land 6.000 1731 Leasehold improvements 65,800 Automotive Equipment Cash Cash Fund for Bond Retirement Common Stock 132800 7-12% Mortgage Notes Payable 25,600 Notes Payable-Barks (due in 2016) 3.600 Notes Payable-Trade 35,000 Patent Licenses 45,000 Prepaid Insurance 37,500 Profit Sharing. Payroll, and Vacation 12150 200,000 12,000 63540 57,402 5,500 Deferred Income Tax Liability Dividends Payable Franchises Furniture, Firtures, and Store Equipment 769,000 Retained Earnings Payable 40,000 225,800 Supplemental information is as follows: (a) Depreciation is provided by the straight-line method over the estimated useful lives of the assets. (b) Common stock is $1 par, and 35,000 of the 100,000 authorized shares were issued and are outstanding. (c) The cost of an exclusive franchise to import a foreign company's ball bearings and a related patent license are being amortized on the straight-line method over their remaining lives: franchise, 10 years: patents, 15 years. (d) hventories are stated at the lower of cost or market; cost was determined by the specific identification method. (e) Insurance claims based on the opinion of an independent insurance adjustor are for property damages at the central warehouse. These claims are estimated to be two-thirds collectible in the following year and one-third collectible thereafter. (f) The company leases all of its buildings from various lessors. Estimated fixed-lease obligations are $50,000 per year for the next 10 years. The leases do not meet the criteria for capitalization. (g) The company is currently in litigation over a claimed overpayment of income tax of $13,000. In the opinion of counsel, the claim is valid. The company is contingently liable on guaranteed notes worth $12,000