On December 31, 2007 a fire destroyed a significant portion of the Richey Company accounting records. Only the January 1, 2007 balance sheet, the statement of cash flows for 2007, and several additional documents were saved as follows:

The remaining financial documents reveal the following additional data:
1. The new building was acquired on December 31, 2007. The related mortgage requires equal annual repayments of the principal over a five-year period beginning December 31, 2009.
2. The company issued a stock dividend of 200 shares of common stock on December 14, 2007. On the date of declaration, the stock was selling for $18 per share.
3. The equipment that was sold had an original cost of $1,900.
Required
Prepare a December 31, 2007 balance sheet for Richey Company. Include supportingcalculations.

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Balance Sheet anuary 1, 2007 Current assets Cash Accounts receivable Inventories S 1,900 5,100 13,900 1,300 $22,200 Total current assets Property, plant, and equipment: $12,000 $60,000 20,000 Equipment 80,000 Less: Accumulated depreciation Total fixed assets (29,000)-51.000 $63,000 Patents (net) 7,100 Total assets Liabilities Current liabilities Accounts payable Income taxes Miscellaneous pavables 5,500 4,100 Total current liabilities 10,800 Long-term liabilities: 10% bonds payable (due 1 2/31/2016) $15,000 Less: Discount on bonds payable Total liabilities (1.000) 14,000 $24,800 $17,000 1,500 $14,000 11,200 Premium on preferred stock $18,500 Premium on common stock Retained earnings Total stockholders' equity Total liabilities and stockholders equity 23,800 $67.500 $92,300 Staternent oash Tows For Year Ended December 31, 2007 From Operating Activities 10,000 Adjustments for differences between income flows and cash flows from operating activitls: n expense Decrease in accounts receivable (net) as payables activities 18.900 Cash lows From Investing Activities Puha of building by issuance of mortgage and cash (17.600) Proceeds from issuance of common stock (150 shares) 3,000 (2.000) s (700) 1900 5 1.200 Schedule 1: Investing and Financing Activitles Not Affecting Cash Acquisition of land by issuance of preferred stock (40 shares) Issuance of prefermed stock to acquire land