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Presented below are selected accounts of Wildhorse Company at December 31, 2020.

Inventory (finished goods)		$ 59,800		Cost of Goods Sold		$2,113,900
Unearned Service Revenue		94,800		Notes Receivable		40,400
Equipment		261,700		Accounts Receivable		170,720
Inventory (work in process)		43,100		Inventory (raw materials)		183,830
Cash		40,000		Supplies Expense		55,820
Debt Investments (trading)		39,500		Allowance for Doubtful Accounts		12,420
Customer Advances		54,800		Licenses		16,580
Restricted Cash for Plant Expansion		59,500		Additional Paid-in Capital		80,630
				Treasury Stock		22,540

The following additional information is available.

1.		Inventories are valued at lower-of-cost-or-market using LIFO.
2.		Equipment is recorded at cost. Accumulated depreciation, computed on a straight-line basis, is $46,245.
3.		The short-term investments have a fair value of $27,640.
4.		The notes receivable are due April 30, 2022, with interest receivable every April 30. The notes bear interest at 6%. (Hint: Accrue interest due on December 31, 2020.)
5.		The allowance for doubtful accounts applies to the accounts receivable. Accounts receivable of $53,800 are pledged as collateral on a bank loan.
6.		Licenses are recorded net of accumulated amortization of $14,840.
7.		Treasury stock is recorded at cost.

Prepare the current assets section of Wildhorse Company’s December 31, 2020, balance sheet, with appropriate disclosures. (List Current Assets in order of liquidity. Enter account name only and do not provide the descriptive information provided in the question.)

WILDHORSE COMPANY Balance Sheet (Partial) December 31, 2020For the Year Ended December 31, 2020For the Quarter Ended December 31, 2020
Current AssetsCurrent LiabilitiesIntangible AssetsLong-term InvestmentsLong-term LiabilitiesProperty, Plant and EquipmentStockholders' EquityTotal AssetsTotal Current AssetsTotal Current LiabilitiesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders' EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Property, Plant and EquipmentTotal Stockholders' Equity
					$
Add    Less:
Current Assets    Current Liabilities    Intangible Assets    Long-term Investments    Long-term Liabilities    Property, Plant and Equipment    Stockholders' Equity    Total Assets    Total Current Assets    Total Current Liabilities    Total Intangible Assets    Total Liabilities    Total Liabilities and Stockholders' Equity    Total Long-term Investments    Total Long-term Liabilities    Total Property, Plant and Equipment    Total Stockholders' Equity					$

Answer 1

Current Assets in order of liquidity

Current Assets:
Cash	$99,500
Less: Restricted cash for plant expansion	($59,500)	$40,000
Trading securities at fair value (cost, 39,500)		$27,640
Accounts Receivable (53,800 is pledged as collateral on bank loan)	$170,720
Less: Allowance for doubtful accounts	($12,420)	$158,300
Interest Receivable (40,400 * 6%) * 8/12		$1,616
Inventories at lower-of-cost-(determined using LIFO)-or-market:
Finished Goods	$59,800
Work in Process	$43,100
Raw Materials	$183,830	$286,730
Total Current Assets		$514,286

Workings:

Cash and cash equivalents = 99,500

Restricted cash for plant expansion = 59,500

= 99,500 - 59,500

= 40,000

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