The following is the statement of financial position of Rasheed Brothers Corporation (amounts in thousands).

Instructions

Evaluate the statement of financial position presented. State briefly the proper treatment of any item criticized.

Transcribed Image Text:

Rasheed Brothers Corporation Statement of Financial Position December 31, 2022 Assets Current assets Cash $26,000 Short-term investments 18,000 Accounts receivable 25,000 Inventory 20,000 Supplies Investment in associated company 4,000 20,000 $113,000 Investments Treasury shares 25,000 Property, plant, and equipment Buildings and land 91,000 Less: Accumulated depreciation 31,000 б0,00о Other assets Cash restricted for plant expansion 19,000 Total assets $217,000 Liabilities and Equity Current liabilities Accounts payable Income taxes payable Deferred credits $2,000 15,000 $ 37,000 Unrealized gains on non-trading equity investments 2,000 Non-current liabilities Bonds payable 60,000 Total liabilities 99,000 Equity Share capital-ordinary, par $5 85,000 Retained earnings 25,000 Cash dividends declared 8,000 118,000 Total liabilities and equity $217,000