1. Machine "S" met all conditions for held-for-sale at the year-end. The machine had a net book value of $120,785 and fair value of $57,780.The company had spent $2,050 to dismantle the machine and prepare it for sale.When the company prepares its December 31 statement of financial position, how should this item be reported ? Be specific as to classification and amount.

2. Salaries were paid up to Friday, December 27.There were two additional working days prior to the year-end.Seven employees each earn $550 per (five-day) week, and Nine employees each earn $400 per (five-day) week. When the company prepares its December 31 statement of financial position, how should this item be reported? Be specific as to classification and amount.