Use the Balance Sheet of Michigan,Inc $\text {Michigan, Inc.}$ $\text {Comparative Balance Sheet}$

question 150

Essay

Use the balance sheet of Michigan,Inc.to calculate working capital for 2019 and 2018.
Assets
$\text {Michigan, Inc.}$
$\text {Comparative Balance Sheet}$
$\text {December 31, 2019 and 2018}$
$\begin{array}{lll}&2019&2018\\\text { Total Current Assets } & \$ 200,000 & \$ 100,000 \\\text { Property, Plant, and Equipment, Net } & 550,000 & 500,000 \\\text { Other Assets } & \underline{50,000} & \underline{50,000} \\\text { Total Assets } & \$ 800,000 & \$ 650,000\end{array}$
Liabilities
$$\begin{array} { l l l } \text { Total Current Liabilities } & \$ 150,000 & \$ 100,000 \\\text { Long-term Debt } & \underline { 350,000 } & \underline { 250,000 } \\\text { Total Liabilities } & \$ 500,000 &3 5 0 , 0 0 0 \end{array}$$ Stockholders' Equity
$\begin{array}{lll}\text { Total Stockholders' Equity } & \underline{300,000} & \underline{300,000} \\\text { Total Liabilities and Stockholders' Equity } & \$ 800,000 & \$ 650,000\end{array}$

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Definitions:

Self-serving Bias

A common tendency for individuals to attribute their successes to internal factors while blaming external factors for their failures.

Fundamental Attribution Error

The tendency to overemphasize personal characteristics and ignore situational factors when judging others' behavior.

Dispositional Factors

Aspects of an individual's personality that influence their behavior and attitudes in various situations.

Self-serving Bias

A cognitive bias where individuals attribute success to internal factors like their abilities or effort, while attributing failures to external factors beyond their control.