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Success-R-Us Balance Sheet
December 31, 2009

Accounts Receivable 40,500 Interest Payable 2,900

Inventory 31,000 Warranty Liability 1,100

Supplies 5,300

Total Current Assets 89,000 Total Current Liabilities 61,000

Investments 36,000 Long-term Liabilities

Notes Payable 20,000

Property, Plant and Bonds Payable 400,000
Equipment

Land 5,500 Total Long-term Liabilities 420,000

Land Improvements 6,500

Buildings 180,000

Equipment 201,000 Total Liabilities 481,000
Less Accum. Depreciation (56,000)

Prop., Plant, and Equipment 337,000
net

Intangible Assets Stockholders’ Equity

Goodwill 105,000 Common Stocks 110,000

Trade Names 200,000 Retained Earnings 229,000

Total Intangible Assets 305,000 Less Treasury Stock (50,000)

Other Assets 3,000

Total Assets $770,000 Total Liability and Stockholder $770,000
Equity
Some business people define current assets as those the business expects to use
or consume within the coming fiscal year. Thus, a business’s noncurrent assets would
be those that have a useful life of more than one year. These include fixed assets and
intangible assets.
Fixed assets are those assets that are not easily converted to cash in the short
term; that is, they are assets that only change over the long term. Land, buildings,
equipment, vehicles, furniture, and fixtures are some examples of fixed assets. In the
balance sheet for Success-R-Us, the fixed assets shown are furniture and fixtures and
equipment. These fixed assets are shown as less accumulated depreciation.

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