The following balance sheet for the Los Gatos Corporation was prepared by a recently hired accountant. In reviewing the statement you notice several errors. Cash Accounts receivable Inventory Machinery (net) Franchise (net) Total assets Liabilities and Shareholders' Equity Accounts payable Allowance for uncollectible accounts Notes payable Bonds payable LOS GATOS CORPORATION Balance Sheet At December 31, 2024 Assets Shareholders' equity Total liabilities and shareholders' equity Additional Information: 1. Cash includes a $32,000 restricted amount to be used for repayment of the bonds payable in 2028. 2. The cost of the machinery is $214,000. 3. Accounts receivable includes a $32,000 notes receivable from a customer due in 2027. Current assets: $ 64,000 116,000 67,000 132,000 42,000 $ 421,000 4. The notes payable balance includes accrued Interest of $17,000. Principal and interest are both due on February 1, 2025. 5. The company began operations in 2019. Net Income less dividends since inception of the company totals $47,000. 6. 62,000 shares of no par common stock were issued in 2019. 200,000 shares are authorized. Net accounts receivable $ 74,000 17,000 79,000 122,000 129,000 $ 421,000 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. Note: Amounts to be deducted should be indicated by a minus sign. LOS GATOS CORPORATION Balance Sheet At December 31, 2024 Assets

The following balance sheet for the Los Gatos Corporation was prepared by a recently hired accountant in reviewing the statement you notice severai errors. Additional information 1. Cash inciudes a $32,000 restricted amount to be used for repayment of the bonds payable in 2028 . 2. The cost of the machinery is $214,000 3. Accounts recelvabie includes a $32,000 notes recelvable from a customer due in 2027. 4. The notes payabie bolance includes accrued interest of $17,000. Principol and interest are both due on February 1,2025. 5. The compary began operetions in 2019. Net income less dividends since inception of the company totals $477,000 6. 62.000 shares of no par common stock were issued in 2019.200.000 shates are outhorized. Required: Prepare a corrected, classified balance sheet. Use the additional information to help determine appropriate classitications and account balances. The cost of machinery and its accumutated depreciation are shown separately. Note: Amounts to be deducted should be indicated by a minus sign