1. The following is a list of the assets and claims of Sigma Electronics as at 30 June last year:
   • Trade payables: $85,000
   • Motor vehicles: $39,000
   • Long-term borrowing (loan from Electronics Finance Co.): $265,000
   • Equipment and tools: $225,000
   • Short-term borrowings: $115,000
   • Inventories: $150,000
   • Property: $355,000
   • Trade receivables: $180,000

Required:

(a) Prepare the statement of financial position of the business as at 30 June last year from the information provided, using the standard layout. (Hint: There is a missing item that needs to be deduced and inserted.)

(b) Discuss the capital structure revealed by this financial statement.