A condensed balance sheet for Bradford Corporation prepared at the end of the year appears as follows:
| Assets |
|
Liabilities & Stockholders' Equity |
| Cash |
$ |
94,000 |
|
Notes payable (due in 6 months) |
$ |
42,000 |
| Accounts receivable |
|
120,000 |
|
Accounts payable |
|
85,000 |
| Inventory |
|
270,000 |
|
Long-term liabilities |
|
336,000 |
| Prepaid expenses |
|
60,000 |
|
Capital stock, $5 par |
|
300,000 |
| Plant & equipment (net) |
|
570,000 |
|
Retained earnings |
|
441,000 |
| Other assets |
|
90,000 |
|
|
|
|
| |
|
|
| Total |
$ |
1,204,000 |
|
Total |
$ |
1,204,000 |
During the year the company earned a gross profit of $1,116,000 on sales of $2,950,000. Accounts receivable, inventory, and plant assets remained almost constant in amount throughout the year, so year-end figures may be used rather than averages.