ABBOTT KIDS HOME At the end of a six-month activity, Ms. Frances Nissen wanted to analyze the results of the Abbott Kindergarten activity. She wondered what the company's status on December 31, 2019, and what the future could be. Abbott Kindergarten was established in early 2019. Ms. Nissen ran the company. The company provided services for working mothers' child care, pre-school education, breakfast and lunch. To be able to deposit her own partnership, Ms. Nissen mortgaged her home for $ 15,000. With $ 13,000 of this money, she bought the company's stocks. A friend of Ms. Nissen also deposited $ 7,000 in cash and bought her shares. A government agency loaned the kindergarten $ 3,000 to be paid at the end of one year. With these funds, the company purchased land for $ 5,000 and real estate for including a building for $ 20,000. For this purchase, $ 16,000 was borrowed in return for a mortgage and cash was paid for the remaining balance. The interest on the mortgage debt was to be paid quarterly, with no payment for the principal debt before the establishment of the company was completed. The floor and fixtures were also purchased for the nest with $ 8,200 in advance. The following additional cash payments were made for the first six months of activities that ended on December 31, 2019. Mrs. Nissen's fee * $ 5,000 Part-day employees wage 3,200 Insurance and taxes 840 Heating and light 637 Food and supplies 2,624 Interest and miscellaneous payments 2,276 Total payments are $ 14,577 A $ 10,500 collection was made for the services provided. Another 300 dollars would be taken from the parents of the children. On December 31, 2019, $ 200 of unconsumed food stuff was on hand. The company owed $ 260 to the person selling the food stuff. Considering future activities, Ms. Nissen estimates that the wages to be collected from children for the next six months, ending June 30, would be $ 16,000 (excluding $ 300 expected from the first six months). This amount was more than the first six months as there were no more children. Again, according to his estimates, 8,000 dollars would be paid for wages she. It was estimated that the advance payment for heat and light would be around $ 800 (due to colder weather than the first six months). There would be a cash outflow of $ 3,500 for new food and supplies, and $ 1,700 for interest and miscellaneous payments (because some fixed expenses were initially paid), which was lower than the first six months. Ms. Nissen would also repay the debt to the government agency by the end of this period. According to Nissen's estimates, on June 30, the company would have $ 200 in food supplies, but no debt for food and supplies purchases. A new payment for insurance and taxes would not be required. Because the amounts paid in the first six months covered a 1-year period. Ms. Nissen knew that various companies recorded depreciation for buildings, flooring and fixtures. However, at that time, a person who wanted to buy the company valued the assets for $ 35,000 in advance. Under these circumstances, according to Ms. Nissen, it was no longer necessary to record depreciation. QUESTIONS: 1. Prepare the balance sheet of the Abbott Kindergarten as of December 31, 2019. (In order to reduce mistakes, it is recommended to evaluate each event separately. Watch the events affecting equity except the first invested share under the name of "undistributed profits". Show the fixed assets with their initial costs) Prepare the profit or loss statement of the Abbott Kindergarten for the period 1 January - 31 December 2019. 2. Prepare the pro forma balance sheet dated 30 June 2020 and the pro forma (estimated) profit or loss statement for the period 1 January - 30 June 2020.