The following balance sheet for the Los Gatos Corporation was prepared by a recently hired accountant. In reviewing the statement you notice several errors. LOS GATOS CORPORATION Balance Sheet At December 31, 2021 Cash Accounts receivable Inventory Assets $ 48,000 92,000 59,000 Machinery (net) Franchise (net) Total assets Accounts payable Liabilities and Shareholders' Equity Allowance for uncollectible accounts Notes payable 124,000 34,000 $ 357,000 $ 58,000 9,000 63,000 Bonds payable 114,000 Shareholders' equity 113,000 Total liabilities and shareholders' equity $ 357,000 Additional Information: 1. Cash includes a $24,000 restricted amount to be used for repayment of the bonds payable in 2025. 2. The cost of the machinery is $198,000. 3. Accounts receivable includes a $24,000 notes receivable from a customer due in 2024. 4. The notes payable balance includes accrued interest of $9,000. Principal and interest are both due on February 1, 2022. 5. The company began operations in 2016. Net income less dividends since inception of the company totals $39,000. 6. 54,000 shares of no par common stock were issued in 2016. 100,000 shares are authorized. Required: Prepare a corrected, classified balance sheet. Use the additional information to help determine appropriate classifications and account balances. The cost of machinery and its accumulated depreciation are shown separately. (Amounts to be deducted should be indicated by a minus sign.) Current assets: Cash Accounts receivable Inventory Net accounts receivable Total current assets Investments: Bonds payable Notes receivable LOS GATOS CORPORATION Balance Sheet At December 31, 2021 Assets $ 24,000 $ 59,000 59,000 118,000 $ 24,000 24,000 142,000 Total investments Property, plant, and equipment: Machinery Accumulated depreciation 48,000 198,000 (74,000) Net property, plant, and equipment 124,000 Intangible assets: Franchise (net) 34,000 Total assets $ 348,000 Liabilities and Shareholders' Equity Current liabilities: Accounts payable $ 58,000 Interest payable Notes payable 9,000 54,000 Total current liabilities Long-term liabilities: Bonds payable Total liabilities Shareholders' equity: Common stock Retained earnings Total shareholders' equity Total liabilities and shareholders' equity $ 74,000 39,000 $ 121,000 114,000 235,000 113,000 348,000 *Red text indicates no response was expected in a cell or a formula-based calculation is incorrect; no points deducted.