Question 5 of 8 STORM ADVENTURES LTD. Balance Sheet December 31 Assets 2021 Cash $43,000 Accounts receivable 76,000 Inventory 160,000 Prepaid expenses 12,000 Land 50,000 Equipment 270,000 Accumulated depreciation (90,000) Total assets $521,000 Liabilities and Shareholders' Equity Accounts payable $43,000 2020 $12,600 85,000 172,000 5,000 75,000 190,000 (40,000) $499,600 $38,000 Question 5 of 8 Liabilities and Shareholders' Equity Accounts payable Dividends payable Income taxes payable Bonds payable Common shares Retained earnings Total liabilities and shareholders' equity $43,000 7,500 2,500 120,000 207,000 141,000 $521,000 $38,000 5,000 6,000 180,000 167,000 103,600 $499,600 Additional information: 1. Profit for 2021 was $69,900. 2. Bonds payable of $60,000 were retired at maturity. 3. Common shares were issued for $40,000. 4. Land was sold at a loss of $10,000