These items are taken from the financial statements of Longhorn Co. at December 31, 2022. 

Instructions 

Prepare a classified balance sheet. Assume that $13,600 of the note payable will be paid in 2023.

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Buildings $105,800 Accounts receivable 12,600 Prepaid insurance Cash 3,200 11,840 Equipment 82,400 Land 61,200 Insurance expense Depreciation expense Interest expense 780 5,300 2,600 Common stock 60,000 Retained earnings (January 1, 2022) Accumulated depreciation-buildings Accounts payable Notes payable Accumulated depreciation-equipment Interest payable 40,000 45,600 9,500 93,600 18,720 3,600 Service revenue 14,700