James' Specialty Bike Shop Balance Sheet As of December 31, 2017 Assets Cash in bank $2,300 Accounts Receivable 3,600 Inventory on hand at end of year (Note 1) 50,000 Land (cost) 10,000 Building, net book value (Note 2) 141,000 Truck, net book value (Note 3) 31,500 Tools and Equipment, net book value (Note 4) 24 125 Total Assets M Liabilities Accounts Payable $72,500 Bank Loan 58,300 Owner's Equity James Doode, Capital 131,725 Total Liabilities and Equity $262,525 Note 1: The opening inventory on January lst of the year was $5,000. Note 2: The building consists of a 3,000 sq.m. structure across the street from James' home, located at 124 Main Street, Anytown, Ontario, KOH 1H0. At least half the surface is used as a showroom to sell his custom bikes. It was built by James himself after he retired from the Armed Forces. The rest of the building is used as a shop for mechanic work. The construction was completed on March 1, 2016 at a cost of $150,000. The UCC for tax purposes (class 1) at the beginning of the year was $145,500. Note 3: The truck consists of a Ford F150 extended cab pick-up that James uses for both business and personal purposes see Note 11 for operating expenses. The truck was purchased on June 1, 2016 at a cost of $45,000. The UCC for tax purposes at the beginning of the year was $25,500. Note 4: The tools and equipment consist of various machines used for the maintenance and customization of motorcycles for the business. The following is the information relating to each asset