Please complete the attached two questions...

1) Adjusted Trial Balance Eastwood Company Adjusted Trial Balance December 31, 2010 Assets Current Assets: Cash Accounts receivable Allowance for Doubtful Accounts Prepaid Insurance Inventory Long-term Investments Land Construction Work in Progress Patents Equipment Accumulated Depreciation of Equpment Unamortized Discount on Bonds Payable Accounts Payable Accrued Expenses Notes Payable Bonds Payable Common Stock Paid-in Capital in Excess of Par - Common Stock Retained Earnings $ 41,000 163,500 $ 8,700 5,900 208,000 339,000 85,000 124,000 36,000 400,000 240,000 20,000 148,000 49,200 94,000 200,000 500,000 45,000 138,000 1,422,900 1,422,900 Additional Info: 1. The LIFO method of inventory value is used. 2. The cost and fair value of the long-term investments that consist of stocks and bonds is the same. 3. The amount of the Construction Work in Progress account represents the costs expended to date on a building in the process of construction. (The company rents factory space at the present time.) The land on which the building is being constructed cost $85,000, as shown in the trial balance. 4. The patents were purchased by the company at a cost of $40,000 and are being amortized on a straight-line basis. 5. Of the unamortized discount on bonds payable, $2,000 will be amortized in 2011. 6. The notes payable represent bank loans that are secured by long-term investments carried at $120,000. These bank loans are due in 2011. 7. The bonds payable bear interest at 8% payable every December 31, and are due January 1, 2021. 8. 600,000 shares of common stock of a par value of $1 were authorized, of which 500,000 shares were issued and outstanding. Instructions: Prepare a balance sheet as of December 31, 2010, so that all important information is fully disclosed. 2) Balance Sheet Adjustment and Preparation: Presented below is the balance sheet of Sargent Corporation for the current year, 2010. Sargent Corporation Balance Sheet December 31, 2010 Current Assets Investments Property, plant, and equipment Intangible assets $ 485,000 640,000 1,720,000 305,000 3,150,000 Current Liabilities Long-term liabilities Stockholders' equity $ 380,000 1,000,000 1,770,000 3,150,000 Additional Info: 1. The current assets section includes: cash $150,000, accounts receivable $170,00 less $10,000 for allowance for doubtful accounts, inventories $180,000, and unearned revenue $5,000. Inventories are stated on the lower of FIFO cost or market. 2. The investments section includes: the cash surrender value of a life insurance contract $40,000; investments in common stock, short-term (trading) $80,000 and long-term (available-for-sale) $270,000, and bond sinking fund $250,000. The cost and fair value of investments in common stock are the same. 3. Property, plant, and equipment includes: buildings $1,040,000 less accumulated depreciation $360,000; equipment $450,000 less 4. 5. 6. 7. accumulated depreciation $180,000; land $500,000; and land held for future use $270,000. Intangible assets include: a franchise $165,000; goodwill $100,000; and discount on bonds payable $40,000. Current liabilities include: accounts payable $140,000; notes payable - short-term $80,000 and long-term $120,000; and taxes payable $40,000. Long-term liabilities are composed solely of 7% bonds payable due 2018. Stockholders' equity has: preferred stock, no par value, authorized 200,000 shares, issued 70,000 shares for $450,000; and common stock, $1.00 par value, authorized 400,000 shares, issued 100,000 shares at an average price of $10. In addition, the corporation has retained earnings of $320,000. Instructions: Prepare a balance sheet in good form, adjusting in each balance sheet classification as affected by the information given above