The following is a December 31, 2011, post-closing trial balance for the Weismuller Publishing Company.
1. Prepaid expenses include $120,000 paid on December 31, 2011, for a two-year lease on the building that houses both the administrative offices and the manufacturing facility.
2. Investments include $30,000 in Treasury bills purchased on November 30, 2011. The bills mature on January 30, 2012. The remaining $110,000 includes investments in marketable equity securities that the company intends to sell in the next year.
3. Unearned revenue represents customer prepayments for magazine subscriptions. Subscriptions are for periods of one year or less.
4. The notes payable account consists of the following:
a. a $40,000 note due in six months.
b. a $100,000 note due in six years.
c. a $60,000 note due in three annual installments of $20,000 each, with the next installment due August 31, 2012.
5. The common stock account represents 400,000 shares of no par value common stock issued and outstanding. The corporation has 800,000 shares authorized.
Prepare a classified balanced sheet for the Weismuller Publishing Company at December 31, 2011.