These items are taken from the financial statements of Sailing Boats Ltd. at December 31, 2019:

Instructions:

(a)Prepare an income statement and statement of changes in equity for the year knowing that $4,200 share were issued during the year.

(b)Prepare a classified statement of financial position (balance sheet). Assume that $40,500 of the bank loan payable will be paid in 2019.

(a)Prepare an income statement and statement of changes in equity for the year knowing that $4,200 share were issued during the year.

(b)Prepare a classified statement of financial position (balance sheet). Assume that $40,500 of the bank loan payable will be paid in 2019.