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, 2018 Assets Cash Accounts receivable Inventories Machinery (net) Franchise (net) $76,000 134,000 73,000 138,000 48,000 $469,000 Total assets Liabilities and Shareholders' Equity Accounts payable Allowance for uncollectible accounts Note payable Bonds payable Shareholders' equity $86,000 23,000 91,000 128,000 141,000 $469,000 Total liabilities and shareholders' equity Additional information: 1. Cash includes a $38,000 restricted amount to be used for repayment of the bonds payable in 2022 2. The cost of the machinery is $226,000