Problem 4-10A Preparing a classified balance sheet LOS, 6 CHECK FIGURES: 1. Capital $520,775; 2. Total assets $895,400 An alphabetical list of the adjusted trial balance accounts for North Country Rentals after its first year of operations ending March 31. 2023, is shown below Page 319 Account Adjusted Account Balance" Accounts payable $9100 Accumulated depreciation, building Accumulated depreciation, furniture Advertising expense Brand name Building 25,000 3,500 16,200 3,000 591,000 Cash 17,000 Depreciation expense, building Depreciation expense, furniture Furniture Interest expense Interest payable 25,000 3,500 42.800 10,260 900 Janitorial expense Land Long-term notes payable 41,000 110,000 362,000 Notes receivable, due 2026 Office salaries expense Office supplies Office supplies expense Prepaid advertising Rent revenue Rent receivable Salaries payable Utilities expense Wyett North, capital Wyest North, withdrawals "Assume all accounts have a normal balance Required 143,000 126,625 700 6300 400 398,400 36,000 2.625 36720 415,780 28.000 1. Calculate the capital balance as it would appear on the March 31, 2023, balance sheet. 2. Prepare a classified balance sheet. Assume that $215,000 of the Long-Term Notes Payable will be paid during the year ended March 31, 2024. Also, $55,000 of the notes receivable will be collected by March 31, 2024. 3. Calculate the current ratio and the debt to equity ratio (round to two decimal places). Analysis Component: North Country shows an adjusted balance in the Long-Term Notes Payable account of $362,000 at March 31, 2023. Review the balance sheet just prepared and make a reasonable assumption about what the $362,000 was most logically used for by North Country. Explain whether or not this is generally considered a good use of borrowed funds and why.