ped Problem 3-7 (Algo) Balance sheet preparation; errors [LO3-2, 3-3] The following balance sheet for the Hubbard Corporation was prepared by the company: HUBBARD CORPORATION Balance Sheet At December 31, 2824 Assets Buildings Land Cash Ook Accounts receivable (net) Inventory Machinery Patent (net) int Investment in equity securities Total assets Accounts payable Liabilities and Shareholders' Equity Accumulated depreciation Notes payable Appreciation of inventory $ 764,000 292,800 74,000 148,000 268,000 294,000 114,000 88,000 $ 2,042,000 $ 229,000 269,000 528,000 94,000 Common stock (authorized and issued 114,000 shares of no par stock) Retained earnings 456,000 466,000 Total liabilities and shareholders' equity $ 2,042,000 Additional Information: 1. The buildings, land, and machinery are all stated at cost except for a parcel of land that the company is holding for future sale. The land originally cost $64,000 but, due to a significant Increase in market value, is listed at $148,000. The Increase in the land account was credited to retained earnings. 2. The Investment in equity securities account consists of stocks of other corporations and are recorded at cost, $34,000 of which will be sold in the coming year. The remainder will be held Indefinitely. 3. Notes payable are all long term. However, a $240,000 note requires an Installment payment of $60,000 due in the coming year. 4. Inventory is recorded at current resale value. The original cost of the Inventory is $174,000. Required: