1) the financial statements of Patrick haulers reports the following balances after years of operations: assets $55,000 , stock holders equity $25,000 net income $10,000 dividends $5,000. what is the total amount of liabilities?

a) 7,000 b) 55,000 c) 30000 d) 13000

2) on June 1 2020 Patrick made an advance payment of 38,700 to cover rent for the next 18 months, may 1 "20 to oct 31 "21 . which of the following correctly describes how this amount would be reported on their financial statements for the year ended dec 31, "20 after all adjusting entries have been made in 12/31/20 a) prepaid rent 23650 rent expenses 15050 b) prepaid rent 15050 rent expense 23650 c) prepaid rent 38700 rent expenses 15050 d) prepaid rent 0 rent expenses 28500