A company was recently formed with $61,000 cash contributed to the company by its owners. The company then borrowed $31,000 from a bank and bought $11,000 of inventory and paid cash for it. The company also purchased $71,000 of equipment by paying $10,000 in cash and issuing a note for the remainder.

1. What is the amount of the total assets to be reported on the balance sheet?

2. What is the amount of the total liabilities to be reported on the balance sheet?