- Chapter 1 i Saved Ken Young and Kim Sherwood organized Reader Direct as a corporation; each contributed $55,125 cash to start the business and received 4,500 shares. The store completed its first year of operations on December 31, 2020. On that date, the following financial items for the year were determined: cash on hand and in the bank, $50,250; amounts due from customers from sales of books, $30,150; property and equipment, $59,250; amounts owed to publishers for books purchased, $9,500; one-year note payable to a local bank for $5,100. No dividends were declared or paid to the shareholders during the year. Required: 1. Complete the balance sheet at December 31, 2020: Cash Accounts receivable Property and equipment READER DIRECT Balance Sheet At December 31, 2020 Assets Liabilities $ 50,250 Accounts payable $ 9,200 29,500 Note payable 5,100 59,250 Total liabilities 14,300 Shareholders' equity