54 Notes to Consolidated Financial Statements NOTE 4 — ACCOUNTS RECEIVABLE, NET NOTE 5 — PROPERTY AND EQUIPMENT, NET NOTE 6 — INVESTMENTS IN UNCONSOLIDATED AFFILIATES Accounts receivable consisted of the following: Property and equipment consisted of the following: The Company has investments in unconsolidated affiliates accounted for under  the equity method. Under the equity method, carrying value is adjusted for the Company’s share of the investees’ earnings and losses, as well as capital  contributions to and distributions from these companies. Investments in  unconsolidated affiliates consisted of the following: The Company’s investments in Monte Carlo and Borgata were recorded at their estimated fair value at the date of the Mirage Acquisition, which value exceeded the Company’s share of the net assets of the unconsolidated affiliates by approximately $361 million. Substantially all of this difference relates to the excess of the fair value of land owned by the affiliates over its pre-existing carrying value. The investment balance also includes interest capitalized on the Borgata investment, which is being amortized over 40 years. The Company also owns 50% of The Residences at MGM Grand, along with Turnberry Associates. As of December 31, 2004, the Company has a negative investment balance of $3 million, recorded as other long-term liabilities in the accompanying consolidated balance sheet, representing cumulative losses on the venture. In July 2004, the Company contributed land to The Residences at MGM Grand for construction of the first tower. The equity credit of $9 million is greater than the $1 million previous book value of the land, and the $8 million gain has been deferred until the earnings process is complete, which will occur when The Residences at MGM Grand recognizes revenue on the sale of the first tower’s units. A t December 31 (In thousands) 2 004 2 003 Victoria Partners – Monte Carlo (50%) . . . . . . . . . . . . . . . . . . . . . . . . . .  $ 424,683 $ 420,853 Marina District Development Company - Borgata (50%). . . . . . . . . . . . .  405,322 335,159 MGM Grand Newcastle (Holdings) Ltd. (50%) . . . . . . . . . . . . . . . . . . . .  9,633 — MGM Grand Paradise Limited – Macau (50%). . . . . . . . . . . . . . . . . . . .  3,002 — $ 842,640 $ 756,012 At December 31 (In thousands) 2004 2003 Casino . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  $ 174,713 $ 159,569 Hotel . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 61,084 36,376 Other . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  28,114 22,617 263,911 218,562 Less: Allowance for doubtful accounts . . . . . . . . . . . . . . . . . . . . . . . . . . (59,760) (79,087) $ 204,151 $ 139,475 At December 31 (In thousands) 2004 2003 Land . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 4,089,106 $ 4,103,693 Buildings, building improvements and land improvements. . . . . . . . . .  4,228,138 3,798,143 Equipment, furniture, fixtures and leasehold improvements . . . . . . . . .  2,235,766 1,960,094 Construction in progress . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 299,148 465,471 10,852,158 10,327,401 Less: Accumulated depreciation and amortization . . . . . . . . . . . . . . . .  (1,938,016) (1,646,062) $ 8,914,142 $ 8,681,339