For each of the 5 items presented in the case, please indicate whether the item would be reported in the company's 2017 financial statements or in the notes to the financial statements, and what information would be reported.

1. In order to secure a bank loan of $200,000. David pledged as collateral certain fixed assets with a net book value of $300,000. David applied for the loan on December 18, 2017, and the bank approved the loan on January 8, 2018. Notes of financial statements

2. On November 21, 2017, David initiated a lawsuit seeing $500,00 in damages from a firm that David claims infringed on its trademark. Davids attorneys have stated that the chances of winning and of getting the $500,000 are excellent. Notes of financial statements

3. On February 22, 2018, David issued bonds at an interest rate 2 percentage points above the LIBOR (London Interbank Offered Rate). This is the average interest rated estimated by leading banks in London that they would be charges if borrowing from other banks

4. A warehouse containing a significant portion of Davids inventory was destroyed by fire on January 30, 2018

5. A supplier to whom David owes $15,000 declared bankruptcy on February 3, 2018