On July $1,2024,11-$year$-$old Liam was riding his bike around the neighborhood and noticed that one of his neighbors, Carli, had opened a freshly squeezed lemonade stand. The stand was located at the end of her parents$$ driveway and coincided with their family garage sale. Carli bragged to Liam about all of the money she had made with her stand. This gave Liam an idea. He was going to open up his own stand but instead of boring yellow lemonade, he was going to sell colored lemonade! He would use food coloring to make drinks in every color of the rainbow.

Liam asked his mom to help him start his business. She agreed to gift him $$50\mathrm{.}00,$ and she did not expect to be repaid. First, she took him to the grocery store to purchase supplies. Liam was able to buy $100$ clear cups for $$4\mathrm{.}00.$ He also bought six boxes of pre$-$mixed lemonade powder for $$12\mathrm{.}00.$ Each box of powder would make $20$ cups of lemonade. Additionally, he bought one box of food coloring for $$5\mathrm{.}00,$ which would be enough for $100$ cups of lemonade. He decided that he did not need to purchase ice or water, he could just use what was available at home. Next, his mom took him to a party supply store where he bought a table for $$25\mathrm{.}00$ and two pitchers for $$4\mathrm{.}00$ total. While standing in line to pay, he saw some cute little umbrellas that would be perfect to decorate his drinks. He knew that he was out of money, but he thought the umbrellas would really draw the customers in$.$ Liam asked his mom for $$5\mathrm{.}00$ additional dollars so he could buy $30$ of them. His mother agreed but expected to be reimbursed at the end of the month.

That afternoon, Liam made a sign, mixed his colorful drinks, and set up his table. Since he knew that Carli was selling her lemonade for $$2\mathrm{.}00$ per glass, he priced his at $$2\mathrm{.}50$ per glass. After all, his lemonade was available in a variety of colors.

After one hour of sitting out in the hot sun, Liam decided that he needed an umbrella for protection. He noticed that Carli had two umbrellas at her stand, and one was unused. Liam walked next door and asked Carli if he could borrow one of her umbrellas. Carli said he could, but only if he paid her $$1$ in rent for every hour used. Liam was not a big fan of the idea but decided he didn$$t really have a choice.

Five hours after opening his stand, Liam had sold eleven cups of lemonade. He wasn$$t keeping track, but he felt like Carli was definitely selling more cups than him. He decided that he needed to lower his prices to compete. During his sixth and seventh hours of operation, he sold his lemonade for $$1\mathrm{.}50$ per glass. Even with the lower price, he only sold three more cups before his mother told him to pack up his stand and come in for dinner. Liam returned the umbrella to Carli and looked at her jar of earnings with envy. He was sure that she had bested him in the lemonade game.

Instructions: Create a pre$-$operations balance sheet for $$Liam$$s Lemonade Stand$$ using the template below. Also, answer the following question below the balance sheet: What are two suggestions you would give Liam to make his next stand more successful?

Liam$$s Lemonade Stand

Balance Sheet

As of July $1,2024$

Assets

Total Assets

Liabilities

Owner$$s Equity

Total Liabilities $+$ Owner$$s Equity