Application Problem 3-15B a-d Eric Shehan is a student working on an internship at Mahon Ltd. On December 31, 2020, the company had its year end. Eric's boss broughth Accounts Payable $216,000 Wages Expense $357,000 Cash 116,000 Notes Receivable 198,000 Notes Payable Rent Expense 249,000 34,000 308,000 Dividends Declared Inventory 178,000 Common Shares 346,000 Supplies 11,000 Insurance Expense Sales Revenue 15,000 3,437,000 Retained Earnings (at January 1, 2020) 1,100,000 Equipment 1,695,000 Accumulated Depreciation, Equipment Cost of Goods Sold 2,028,000 158,000 Utilities Expense 85,000 Miscellaneous Expense 33,000 Unearned Revenue Interest Revenue 8,000 28,000 425,000 Advertising Expense Accounts Receivable 53,000 6,000 Interest Expense These account amounts are correct, but Eric's boss advised him that the information did not reflect the following information: Accrued interest of $6,000 on the notes receivable. 1. Employees earned $79,000 in bonuses based on achieving sales targets. These are payable on January 10, 2021 2. Accrued interest on the note payable amounting to $6,000 is due in January 2021. 3 As of December 31, 2020, the supplies still on hand had a cost of $7,000 The insurance expense includes $3,000 in premiums related to coverage for 2021 4. 5. Depreciation for 2020 is $169,000 on the equipment. 6. The company's board declared additional dividends of $252,000, which are payable to shareholders on January 15, 2021 7. Prepare a classified statement of financial position as at December 31, 2020. (Note: The note receivable and note payable are due in 2021.) (List Current Assets in order of liquidity.) Mahon Ltd. Statement of Financial Position Assets Current Assets Cash Accounts Receivable Notes Receivable Supplies Interest Receivable Prepaid Insurance Inventory Total Current Assets Non-current Assets Equipment Accumulated Depredation-Equipment Less Total Non-current Assets Total Assets Liabilities and Shareholders' Equity Current Liabilities Accounts Payable Interest Payable Wages Payable Unearned Revenue Dividends Payable Notes Payable Tetal Current Liabilities Shareholders Equity Retained Earnings Common Shares Total Shareholders' Equity Total Liabilities and Shareholders' Equity