Use the Following Data to Determine the Total Dollar Amount

question 90

Multiple Choice

Use the following data to determine the total dollar amount of assets to be classified as property, plant, and equipment. Eddy Auto Supplies
Balance Sheet
December 31, 2017
$\begin{array}{lrlr}\text { Cash } & \$ 126,000 & \text { Accounts payable } & \$ 165,000 \\\text { Accounts receivable } & 120,000 & \text { Salaries and wages payable } & 30,000 \\\text { Inventory } & 210,000 & \text { Mortgage payable } & 270,000\\\text { Prepaid insurance } & 90,000 & \text { Total liabilities } &\$465,000\\\text { Stock investments } & 255,000 & \\\text { Land } & 285,000 &\\\text { Buildings }\quad\$339,000&&\text { Common stock } & \$ 360,000 \\\text { Less: Accumulated }&&\text { Retained earnings } & 750,000\\\text { depreciation }\quad(60,000) &279,000&\text { Total stockholders' equity }&\$1,110,000\\\text { Trademarks }&210,000&\text { Total liabilities and }\\\text { Total assets }&\$1,050,000&\text { stockholders' equity }&\$1,575,000\end{array}$

• A)$1,029,000
• B)$774,000
• C)$834,000
• D)$564,000

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Definitions:

Oil Hole

A small, designed opening in machinery through which oil is applied for lubrication purposes.

Standard Transmission

A type of gearbox that requires manual operation by the driver to select and engage gears, using a clutch.

Oil Level

The quantity of oil present in an engine or machine, critical for proper lubrication and cooling.

Fill Hole

An opening in a container or machine part designed for introducing fluid or material into the system or component.