Question: Balance Sheet Assets Liabilities Current Assets Current Liabilities Cash. . . . . . . . . . . . . . . . .

Balance Sheet
Assets Liabilities
Current Assets Current Liabilities
Cash. . . . . . . . . . . . . . . . . . . . . . . . 52 Accounts payable. . . . . . . . . . . . . . 43
Accounts receivable. . . . . . . . . . . . . 21 Notes payable/short term debt. . . . . 7
Inventories. . . . . . . . . . . . . . . . . . . 20 Total current liabilities. . . . . . . . . . . . 50
Total current assets. . . . . . . . . . . . . 93
Long-Term Assets Long-Term Liabilities
Net property, plant, and equipment. . . 117 Long-term debt. . . . . . . . . . . . . . . . 127
Total long-term assets. . . . . . . . . . . . 117 Total long-term liabilities. . . . . . . . . . 127
Total liabilities. . . . . . . . . . . . . . . . 177
Stockholders' Equity. . . . . . . . . . 33
Total assets. . . . . . . . . . . . . . . . . . 210 Total liabilities and stockholders' Equity. . . . . . . . . . . . . . . . . . . . . . 210

The above diagram shows a balance sheet for a certain company. All quantities shown are in millions of dollars. How would the balance sheet change if the company's long-term assets were judged to depreciate at an extra

$5

million per year?

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