Due to poor health, the owner of Swan Pty, Ltd, an importer, intends to sell their business. To facilitate the sale, the owners have prepared the following statement of financial position for prospective purchasers as of 31 October 2022. Your father is interested in purchasing the business and has taken this statement of financial position to you for advice. SWAN PTY LTD Statement of Financial Position As of 31 October 2022 Assets Cash Account Receivable. Inventory..... Prepayments. Plant and Equipment Goodwill. Total assets Liabilities Account Payable. Loan...... Net Assets Equity Capital. Profit........ Total Equity ... $9,000 21,000 64,500 3,000 ..42,000 43,500 ..$183,000 .13,500 30,000 .$139,500 $ 90,000 49,500 . $139,500 Notes to the accounts: a. The entity also has a $15,000 bank overdraft. b. The profit of $49,500 is the reported profit for the current reporting period. c. The plant and equipment is at cost. d. The inventory is measured at cost price Required: 1. Discuss at least five errors or divergences from acceptable accounting practices revealed by this statement of financial position and explain your answer clearly! (20 points) 2. List three limitation of the statement of financial position and give your explanation! (5 points)