Stillwater Video Company, Inc. produces and markets two popular
video games, High Range and Star Boundary. The closing account
balances on the company's balance sheet for the last year are as
follows: Cash, $18,735; Accounts Receivable, $19,900; Materials
Inventory, $18,510; Work in Process Inventory, $24,680; Finished
Goods Inventory, $21,940; Prepaid Expenses, $3,420; Plant and
Equipment, $262,800; Accumulated Depreciation-Plant and Equipment,
$55,845; Other Assets, $9,480; Accounts Payable, $52,640; Mortgage
Payable, $70,000; Common Stock, $90,000; and Retained Earnings,
$110,980.
Operating budgets for...