The following accounts and account balances are taken from the records of Tucker Corporation, at December 31, 2021. Account 2021 2020 Accounts payable Accounts receivable Notes receivable Bank loan Building Cash Dividends Equipment Income taxes payable Land Merchandize inventory Mortgage payable Prepaid insurance Share capital $ 10,000 8,000 6,000 4,000 50,000 3,000 2,000 25,000 4,000 50,000 20,000 6,000 2,000 48,000 $ 7,000 6,000 2,000 7,000 20,000 2,000 -0- 15,000 2,000 50,000 25,000 10,000 1,000 48,000 Other information: a. $1,000 of the notes receivable at December 31, 2021 will be received in cash during 2022. All of the notes receivable at December 31, 2020 were received in cash during 2021. b. $3,000 of the bank loan and $2,000 of the mortgage payable of December 2021 must be repaid by December 31, 2022. 2020 was the first year of the Company's operations. c. Required: 1. Make a Statement of Changes in Financial Position for year ending 2020 and 2021. 2. Prepare a classified statement of financial position. Assume all accounts have normal balances. Disclose all amounts separately on the statement of financial position. Use a note for Property Plant and Equipment. (See requirement 4). The company is not recording depreciation expense. 3. Does the Company have sufficient resources to meet its current obligations in 20212 4. Refer to BDCC's note 4 shown in this chapter. Assume now that Tuckers' property, plant, and equipment are combined into one amount on the statement of financial position. Prepare a suitable note to the financial statements. The following accounts and account balances are taken from the records of Tucker Corporation, at December 31, 2021. Account 2021 2020 Accounts payable Accounts receivable Notes receivable Bank loan Building Cash Dividends Equipment Income taxes payable Land Merchandize inventory Mortgage payable Prepaid insurance Share capital $ 10,000 8,000 6,000 4,000 50,000 3,000 2,000 25,000 4,000 50,000 20,000 6,000 2,000 48,000 $ 7,000 6,000 2,000 7,000 20,000 2,000 -0- 15,000 2,000 50,000 25,000 10,000 1,000 48,000 Other information: a. $1,000 of the notes receivable at December 31, 2021 will be received in cash during 2022. All of the notes receivable at December 31, 2020 were received in cash during 2021. b. $3,000 of the bank loan and $2,000 of the mortgage payable of December 2021 must be repaid by December 31, 2022. 2020 was the first year of the Company's operations. c. Required: 1. Make a Statement of Changes in Financial Position for year ending 2020 and 2021. 2. Prepare a classified statement of financial position. Assume all accounts have normal balances. Disclose all amounts separately on the statement of financial position. Use a note for Property Plant and Equipment. (See requirement 4). The company is not recording depreciation expense. 3. Does the Company have sufficient resources to meet its current obligations in 20212 4. Refer to BDCC's note 4 shown in this chapter. Assume now that Tuckers' property, plant, and equipment are combined into one amount on the statement of financial position. Prepare a suitable note to the financial statements
