Prepare the liabilities and shareholders equity sections of the statement of financial position. Prepare statement of financial position. E2.4 (LO 1) These items are taken from the financial statements of Summit Ltd. at December 31, 2021: Accounts payable $21,050 Accounts receivable 20,780 Accumulated depreciationbuildings 50,600 Accumulated depreciationequipment 21,470 Buildings 133,800 Cash 24,040 Common shares 140,000 Equipment 66,100 Income tax expense 5,200 Interest expense 4,550 Interest payable 2,100 Land 194,000 Long-term investments 28,970 Mortgage payable 104,000 Operating expenses 158,680 Prepaid insurance 1,420 Retained earnings, January 1 116,520 Service revenue 183,040 Supplies 1,240 Instructions Calculate net income and the ending balance of retained earnings at December 31, 2021. It is not necessary to prepare a formal statement of income or statement of changes in equity. Prepare a statement of financial position. Assume that the company will pay $30,500 of the mortgage payable in 2022. Prepare financial statements.