a. Received $60,000 cash from the investors who organized Down, Incorporated b. Borrowed $20,000 cash and signed a note due in two years. c. Ordered equipment costing $16,000. d. Purchased $9,000 in equipment, paying $2,000 in cash and signing a six-month note for the balance. e. Received the equipment ordered in (c), paid for half of it, and put the rest on account. 3. Prepare a classified balance sheet at May 31. Include Retained Earnings with a balance of zero. Assets Current Assets Cash Total Current Assets Equipment DOWN.INCORPORATED Balance Sheet At May 31 Current Liabilities $ 70,000 Common Stock 70,000 25,000 Notes Payable (long-term) Liabilities $ 60,000 20,000 80,000 80,000 0 Total Assets $ 95,000 $ 80,000