(Balance Sheet Preparation) Presented below are a number of balance sheet items for Montoya, Inc., for the current year, 2012.

Goodwill

$   125,000

Accumulated   depreciation—equipment

$   292,000

Payroll taxes payable

177,591  

Inventory

239,800  

Bonds payable

300,000  

Rent payable (short term)

45,000  

Discount on bonds payable

15,000  

Income tax payable

98,362  

Cash

360,000  

Rent payable (long term)

480,000  

Land

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  

Equipment

1,470,000  

Retained earnings

?

Equity investments (trading)

121,000  

Income taxes receivable

97,630  

Accumulated   depreciation—buildings

270,200  

Unsecured notes payable   (long term)

1,600,000  

Buildings

1,640,000  

Instructions

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 equity investments (trading) are the same.