You are the Controller at Gander, Inc. and are responsible for preparing and analyzing the balance sheet for December 31, 2018, the end of the company's fiscal year.Gander Inc. had the following balance sheet balances at December 31, 2017:

GANDER, INC.

Balance Sheet

As of December 31, 2017

Cash

$13,596

Accounts payable

$44,616

Accounts receivable

$24,948

Inventories

$130,360

Plant assets (net)

$150,000

Common stock

$250,000

Retained earnings

$24,288

Total Assets

$318,904

Total Liabilities & Equity

$318,904

During 2018, the following occurred:

1. Customer sales on account $400,000.
2. Received payments from customers in cash $380,000.
3. Purchased merchandise on credit $220,000.
4. Paid cash to vendors $230,000.
5. Costs related to merchandise sold $170,000.
6. Operating expenses were paid in cash $80,000.

There is additional information to consider.

• A note payable for $46,200 was issued on June 30, 2018 and is due in two years on June 30, 2020. Interest in the amount of 10% is paid annually on June 30th.
• Depreciation on the plant assets for the year is $20,000.
• The original cost of the plant assets was $300,000.

Required:

1. Please type out the journal entries you made for 2018 prior to showing the 2018 balance sheet. You do not have to show the posting to the T accounts or any trial balances.
2. Calculate the current ratio and the debt to equity ratio.

3.Analyze the company's 2018 balance sheet, including an evaluation of the current ratio and the debt to equity ratio.

4.State the differences between balance sheet reporting according to U.S. Generally Accepted Accounting Principles (GAAP) versus those prepared using International Financial Reporting Standards (IFRS).