Note 1: Buildings are stated at cost, except for one building that was recorded at appraised value. The excess of appraisal value over cost was $575,790. Depreciation has been recorded based on cost.

Note 2: Goodwill in the amount of $125,790 was recognized because the company believed that book value was not an accurate representation of the fair value of the company. The gain of $125,790 was credited to Retained Earnings.

Note 3: Notes payable are long-term except for the current installment due of $100,000. Prepare a corrected classified balance sheet in good form.

The notes above are for information only. (List Current Assets in order of liquidity.)

The balance sheet of Sheffield Corporation as of December 31, 2020, is as follows. SHEFFIELD CORPORATION BALANCE SHEET DECEMBER 31, 2020 Assets Goodwill (Note 2) 125,790 1,640,000 Buildings (Note 1) Inventory 317,890 Land 950,000 Accounts receivable 175,790 Treasury stock (50,000 shares) 92,790 Cash on hand 181,690 Assets allocated to trustee for plant expansion Cash in bank 75,790 Debt investments (held-to-maturity) 143,790 $3,703,530 Equities Notes payable (Note 3) 605,790 Common stock, authorized and issued, 1,000,000 shares, no par 1,155,790 Retained earnings 808,790 60,790 Noncontrolling interest Appreciation capital (Note 1) 575,790 80,790 Income tax payable 415,790 Reserve for depreciation recorded to date on the building