Part I ABC Company December 31, 2019 2018 ($ thousands) Accounts receivables ,net $ 4,500 $ 5,640 Accounts payable ? 2,480 Accrued income taxes 108 100 1,500 1,300 4,000 2,870 Additional paid-in capital Cash and cash equivalents Current portion of long-term debt Contingent liabilities & other long-term obligations 320 340 650 1,300 190 150 Common stock Goodwill 1,250 1,000 Inventories 350 250 2,550 220 300 Long-term debt 3,500 Notes and loans payable 200 Other noncurrent liabilities 275 Other intangible assets 1,300 Prepaid expenses 300 Property, plant and equipment (net of accumulated depreciation) 4,300 Retained earnings 6,935 1,000 280 ? 8,500 1- Prepare a classified balance sheet after finding the missing amounts. You can use the template provided below. Please disregard the order of items/accounts under one category (e.g., under current assets in terms of liquidity). 2- Compute the percentage of change of every account and balance (including the totals and subtotals) between years 2018 and 2019. Analyze the major changes and explain what could cause such changes (use 10% as a threshold). 3- Give two accounts classified under assets (in the balance sheet you prepared) that managers can manipulate or subjectively change to overstate (increase) total assets. Explain how they can do that. 4- Give one account classified under liabilities in the balance sheet you prepared) that managers can manipulate or subjectively change to understate (decrease) total liabilities. Explain how they can do that. ABC Company December 31 ($ thousands) 2019 2018 Assets Current Assets: Total current assets Total Assets Liabilities and Shareholder's Equity Current Liabilities: Total current liabilities Total Liabilities Shareholders' Equity Total Shareholder's Equity Total Liabilities and Shareholder's Equity