Q.3 Explain the transactions that would have let to Year2 balance sheet values from Year1

Liabilities + OE	Year 1	Year 2	Assets	Year 1	Year 2
Current liabilities	65000	25000	Current assets	20140	5000
Non-current liabilities	255140	20000	Non-current assets	565000	85000
Paid-up capital	250000	50000
Retained earnings	15000	(5000)
Total	585140	90000	Total	585140	90000

Hints

1. TA = TL +OE
2. CA & CL
3. Compare Reduction in Assets, Liabilities and paid-up share capital
4. Observe RE
5. how we arrive to year 2 data from year1