| The following balance sheet for the Hubbard Corporation was prepared by the company: |
| Hubbard Corporation Balance Sheet At December 31, 2013 |
|||
| Assets | |||
| Buildings | $ | 762,000 | |
| Land | 286,000 | ||
| Cash | 72,000 | ||
| Accounts receivable (net) | 144,000 | ||
| Inventories | 264,000 | ||
| Machinery | 292,000 | ||
| Patent (net) | 112,000 | ||
| Investment in marketable equity securities | 84,000 | ||
|
|
|
|
|
| Total assets | $ | 2,016,000 | |
|
|
|
|
|
| Liabilities and shareholders’ equity | |||
| Accounts payable | $ | 227,000 | |
| Accumulated depreciation | 267,000 | ||
| Notes payable | 524,000 | ||
| Appreciation of inventories | 92,000 | ||
| Common stock, authorized and issued 112,000 shares of no par stock |
448,000 | ||
| Retained earnings | 458,000 | ||
|
|
|
|
|
| Total liabilities and shareholders’ equity | $ | 2,016,000 | |
| |
|
|
|
|
|
|||
| Additional information: |
| 1. |
The buildings, land, and machinery are all stated at cost except for a parcel of land that the company is holding for future sale. The land originally cost $62,000 but, due to a significant increase in market value, is listed at $144,000. The increase in the land account was credited to retained earnings. |
| 2. |
Marketable equity securities consist of stocks of other corporations and are recorded at cost, $32,000 of which will be sold in the coming year. The remainder will be held indefinitely. |
| 3. |
Notes payable are all long term. However, a $220,000 note requires an installment payment of $55,000 due in the coming year. |
| 4. |
Inventories are recorded at current resale value. The original cost of the inventories is $ What is the retained earnig for the balance sheet? 458,000 is not the answer, because I have tried that. |