MNO Corp. reports the following balances on February 28, 2025:

Account	Amount
Cash	$21,000
Accounts Receivable	$13,000
Inventory	$24,000
Prepaid Insurance	$2,900
Machinery	$55,000
Accumulated Depreciation	$11,000
Accounts Payable	$17,000
Short-Term Loans	$6,000
Bonds Payable	$22,000
Common Stock	$45,000
Retained Earnings	$14,900

Requirements:

1. Draft a balance sheet with current and non-current classifications.
2. Calculate the quick ratio and debt-to-equity ratio.
3. Analyze the financial leverage and liquidity of MNO Corp.
4. Prepare adjusting entries for:
   • Depreciation expense: $5,500
   • Insurance expense: $1,450
5. Explain the impact of not making adjusting entries on the balance sheet and income statement.