Below are the account balances prepared by the bookkeeper for SQUELCH Company as of December 31, 2021:

Assets		Liabilities
Cash	30,000	Accounts payable	40,000
Accounts receivable, net	88,000	Notes payable	200,000
Inventory	80,000
Prepaid income tax	16,000
Prepaid assets	10,000
Investment in subsidiary	20,000
Land held for sale	56,000
Property, plant and equipment	100,000
Totals	400,000		240,000

Additional information:

- Cash consists of the following:

Petty cash fund (unreplenished petty cash expenses, 3,000) 4,000

Cash in bank (20,000)

Payroll fund 28,000

Tax fund 14,000

Cash to be contributed to a sinking fund set up for the retirement

of bonds maturing on December 31, 2023 4,000

Total Cash 30,000

- Checks amounting to 61,000 were written to suppliers and recorded on December 30, 2021, resulting to a bank overdraft of 20,000. The checks were mailed on January 5, 2022.

- Accounts receivable consists of the following:

Accounts receivable 80,000

Allowance for uncollectability ( 10,000)

Credit balance in customers accounts ( 6,000)

Selling price of unsold goods sent on consignment to QUELL, Inc.

at 120% of cost and excluded from SQUELCHs inventory 24,000

Accounts receivable, net 88,000

- The inventory includes cost of goods amounting to 20,000 that are expected to be sold beyond 12 months but within the ordinary course of business. Also, the inventory includes cost of consigned goods received on consignment from Alpha-Numerix Co. amounting to 10,000.

- Prepaid income tax represents excess of payments for quarterly corporate income taxes during 2021 over the actual annual corporate income tax as of December 31, 2021.

- Prepaid assets includes a 4,000 security deposit on an operating lease which is expected to expire on March 31, 2023. The security deposit will be received on lease expiration.

- The land qualified for classification as asset held for sale under PFRS 5 Non-current Assets Held for Sale and Discontinued Operations as of December 31, 2021.

- Accounts payable is net of 12,000 debit balance in suppliers accounts. Accounts payable includes the cost of goods held on consignment from Alpha-Numerix Co. which were included in inventory.

- The notes payable are dated July 1, 2021 and are due on July 1, 2024. The notes payable bears an annual interest rate of 10%. Interest is payable annually.

INSRUCTIONS: ENUMERATE THE CURRENT ASSETS AND CURRENT LIABILITIES. COMPUTE THE WORKING CAPITAL.