1. Below are the account balances prepared by the bookkeeper for SQUELCH TO SILENCE Company as of December 31, 20x1: Assets Liabilities Cash 30,000 Accounts payable 40,000 Accounts receivable, net 88,000 Notes payable 200,000 Inventory 80,000 Prepaid income tax 16,000 Prepaid assels 10,000 Investment in subsidiary 20,000 Land held for sale 56,000 Property, plant and equipment 100,000 Totals 400,000 240,000 Additional information: - Cash consists of the following: Petty cash fund (unreplenished petty cash expenses, P3,000) 4,DOD Cash in bank (20,000) Payroll fund 28,000 Tax fund 14,000 Cash to be contributed to a sinking fund set up for the retirement of bonds maturing on December 31, 20x3 4,DOD Total Cush 30.000